Trump Media & Technology Group DJT could see high volatility the morning after Thursday’s first 2024 presidential debate.
What Happened: Since announcing a merger with Digital World Acquisition Corporation (DWAC), the Truth Social parent company — co-founded by Donald Trump — has experienced high volatility related to events surrounding the former president.
Before the deal, DWAC shares often saw large price swings related to Trump’s four indictments and legal troubles.
The SPAC also experienced wide swings related to 2024 election items. One such example was in January when DWAC shares soared as Trump was predicted to win several key election primaries. Ron DeSantis’ dropping out of the presidential race also made shares volatile.
Trump's indictment in March 2023 over falsified business records saw shares of Digital World trade higher.
Trump Media & Technology (TMTG) shares traded higher on May 31, opening at $53.92. They were up 4% the day after Trump was found guilty of 34 counts in a criminal trial for alleged falsified business records.
Trump's preferred social media platform remains Truth Social, as opposed to X, where he has only posted once since being unbanned by Elon Musk.
Truth Social could see a spike in traffic on Thursday before and after the debate, with Trump sharing his takes on the upcoming election and criticism of President Joe Biden.
Why It's Important: Prediction markets allow viewers of the presidential debate to wager crypto on what Biden and Trump will say.
Sportsbook DraftKings Inc DKNG is also offering a $10,000 prediction pool that will award those who correctly pick what themes and topics are covered during the debate and by the candidates.
Cryptocurrencies related to Trump and Biden could also see high volatility during the debate as they trade 24/7.
TMTG, led by CEO Devin Nunes, remains one of the few ways to invest in Trump’s success or failures.
The stock will be in the spotlight on Friday and could see wide swings between now and the election.
DJT Price Action: TMTG shares are up 9% Tuesday to $36.50 versus a 52-week trading range of $12.50 to $79.38. Shares are up 165% over the last year.
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