Official Melania (CRYPTO: MELANIA) dramatically spiked on Sunday after a whale opened a five-fold leveraged long position in the meme coin.

What happened: The official cryptocurrency of First Lady Melania Trump jumped 6.29% over the previous day, while its trading volume more than tripled to $35 million. The cryptocurrency outperformed Bitcoin (CRYPTO: BTC), Ethereum (CRYPTO: ETH), and Dogecoin (CRYPTO: DOGE) in the last 24 hours.

The price skyrocketed after an influential trader, who made news for taking a 40x leveraged short position on Bitcoin, opened a 5x leveraged trade betting on MELANIA’s price increase.

The position, worth $2.5 million at the time of writing, was opened at an entry price of $0.69135, according to data from the decentralized perpetual trading platform Hyperliquid. 

Since opening the long, the trader has made an unrealized profit of over $105,000.

Benzinga Note: Leverage trading allows cryptocurrency traders to open larger positions using borrowed capital. While it can potentially amplify profits, it also significantly increases the risk of substantial losses due to the volatile nature of the cryptocurrencies.

See Also: House Committee Favors Stablecoin Regulation To ‘Strengthen’ Dollar: Majority Whip Says CBDCs Against ‘American Values’

Why It Matters: The high-stakes bet revived interest for a coin that has collapsed since its initial frenzy. 

MELANIA has plunged nearly 95% from the all-time high of $13.73 set shortly after its January launch. Additionally, the downturn has wiped off $13 billion worth of the coin’s fully diluted capitalization, which was now valued at $724 million.

Price Action: At the time of writing, MELANIA was exchanging hands at $0.7246, up 6.23% in the last 24 hours, according to data from Benzinga Pro.

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