The recent news of Donald Trump's conviction on 34 felony counts for falsifying business records had a significant but short-lived impact on the meme coin market linked to the former U.S. president. Here's a detailed overview of the events and their implications:

Market Reaction to Trump's Conviction

1. Immediate Impact on TRUMP Coin:
- Price Drop: Following the announcement of Trump's guilty verdict, the Donald Trump-linked meme coin, MAGA (TRUMP), experienced a sharp 16% drop in market value. The coin's price plummeted from $13.48 to $11.27 within a 20-minute window, wiping out over $130 million from its market cap.
- Recovery: Despite the initial drop, the TRUMP coin quickly bounced back. At the time of writing, it was trading at $14.70, just 1.5% below its 24-hour peak of $14.92.

2. Other Meme Coins:
- Super Trump (STRUMP) and Baby Trump (BABYTRUMP): These Trump-themed coins also saw declines following the news but did not recover as robustly as the TRUMP coin.

3. Biden-Linked Coin:
- Jeo Boden (BODEN): The meme coin linked to Joe Biden initially rallied 6.4% after Trump's conviction but then fell to $0.283, lower than its pre-verdict price.

Broader Implications

1. Market Sentiment:
- The quick recovery of the TRUMP coin suggests strong market sentiment and support among its holders, likely reflecting the polarized political environment.
- The volatility in these politically linked coins underscores the speculative nature of meme coins and their susceptibility to news events.

2. Political Influence on Crypto:
- Polymarket Predictions: On the blockchain-powered prediction market Polymarket, Trump is still favored to win the upcoming election with 54% win odds, compared to Biden's 40%.
- Division and Entrenchment: The verdict is expected to deepen political divisions, as noted by U.S. attorney John Deaton, which could influence the political landscape leading up to the November election.

Trump's Response and Future Plans

1. Denial and Blame:
- Trump has called the trial a "disgrace" and a rigged attempt by the Biden administration to harm his political prospects. He maintains his innocence and vows to continue his fight.

2. Focus on Cryptocurrency:
- Trump has shown increasing support for the cryptocurrency industry. He has promised to uphold the rights of the 50 million cryptocurrency holders in the U.S. to self-custody their digital assets.
- He also engaged with the NFT community, hosting a dinner for NFT enthusiasts and highlighting his impact on making NFTs popular again.

What's Next for Trump's Legal Case

1. Sentencing Phase:
- The case now moves to sentencing, overseen by Judge Juan Merchan. Deadlines will be set for the submission of sentencing memorandums where both parties will argue for their preferred punishments.

2. Political and Social Impact:
- The trial's outcome and subsequent sentencing are expected to fuel political divisions, with both sides becoming more entrenched as the November election approaches.

Conclusion

The recent legal developments concerning Donald Trump have had a notable impact on the cryptocurrency market, particularly on meme coins linked to political figures. The swift recovery of the TRUMP coin post-verdict indicates strong support and speculative interest. As the case moves to sentencing and political campaigns ramp up, further volatility can be expected in these politically influenced digital assets. Trump's increasing engagement with the cryptocurrency community may also play a significant role in shaping his political strategy and influencing the crypto market.