Why the Official Trump Cryptocurrency Is Soaring Today

The Official Trump cryptocurrency's token price is climbing higher Tuesday. The recently launched meme coin was up 6.5% over the past 24 hours of trading in a day of bullish momentum for the broader market. For the same period, Bitcoin was up 2.7%, and Ethereum was up 2.2%.

In a 68-to-29 Senate vote yesterday, Scott Bessent was confirmed as President Trump's Treasury secretary -- and crypto investors see his assumption of the role as a bullish development. Official Trump is also seeing positive rebound trading today as investors react to yesterday's sell-offs spurred by the DeepSeek R1 artificial intelligence ( AI ) software and macroeconomic risk factors.

The Official Trump meme coin jumps on Treasury confirmation

Scott Bessent, a hedge fund manager and billionaire investor, easily cleared yesterday's Senate vote to become the U.S.'s next Treasury secretary. In addition to favoring extensions of key aspects of the tax cuts enacted during the last Trump administration, Bessent has also expressed support for the cryptocurrency industry.

Prior to Bessent's confirmation, President Trump appointed him to an advisory group on cryptocurrencies and other digital assets formed via executive order on Jan. 23. The new crypto group is now evaluating the creation of a U.S. digital assets reserve and will provide a verdict and guidance on the potential project within 180 days of the order's issuance.

Crypto investors broadly see Bessent's confirmation as a positive development, and the Official Trump cryptocurrency is seeing strong gains in today's trading. The bullish momentum has helped the token bounce back from broad-based market sell-offs connected to the DeepSeek R1 AI model and fears that the Fed could keep interest rates at current levels or even serve up a rate increase this year.

What comes next for Official Trump?

Official Trump has seen big valuation swings since its launch on Jan. 17. The meme coin surged in its first day of trading and is still up roughly 350% since its debut, but the token price is also down approximately 63% from its peak. It's likely that the cryptocurrency meme coin will continue to see great volatility.

As a meme coin that has the unprecedented distinction of being affiliated with a sitting U.S. president, the Official Trump token could continue to see significant pricing moves in conjunction with news stories connected to the new administration. Overall moves for the broader crypto market will also continue to have an effect. But given that the token's current valuation and future pricing outlook are highly speculative, the cryptocurrency comes with enormous risk and could face outsize pressures if macroeconomic or crypto industry conditions worsen.