Trump's Truth Social Sell-Off Sinks DJT Stock: Is The Hype Over?

President Donald Trump's media empire is taking a beating on Wall Street, and this time, it's not just the market to blame. Shares of Trump Media & Technology Group DJT have nosedived after the company filed to sell more than 142 million shares, including Trump's own $2.3 billion stake.

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Read Also: Trump Media To Begin Trading On NYSE Texas With DJT Ticker Amid Stock Slump

DJT Stock Down 43% YTD, Technicals Flash Red

DJT stock is down 62.67% over the past year, 43.39% year to date, and 17.05% in just the past month.

While DJT stock is showing moderate bullish signals, the technicals are still flashing red. The eight-day, 20-day, 50-day, and 200-day simple moving averages all indicate bearish momentum, with DJT stock trading below every key threshold. The MACD (moving average convergence/divergence) indicator, too, is bearish at a negative 1.54, suggesting more pain ahead. Meanwhile, the RSI (relative strength index) of 37.08 indicates the stock is creeping toward oversold territory but isn't quite there yet.

Trump's Sudden Sell-Off Sends Shockwaves

The latest sell-off stems from Trump's decision to cash in on his shares "from time to time in one or more offerings." This marks a sharp U-turn from September, when DJT soared after Trump vowed he wouldn't sell.

Back then, Nasdaq even had to halt trading due to wild price swings, prompting Trump to lash out, claiming the exchange was "taking orders" from the SEC.

Retail Investors Left Holding The Bag?

The stock has been a favorite among retail investors, with over 650,000 individual shareholders treating it as a loyalty badge rather than a fundamental investment, reported the Financial Times. But with Trump and other insiders looking to cash out, the narrative is shifting.

Even the hype of TMTG becoming the first company to list on the NYSE's Texas platform isn't enough to prop up shares.

What's Next For DJT?

With Trump's so-called "liberation day" tariffs set to be announced, global markets are already on edge.

For DJT, the real question is: without the cult-like retail backing, what's left to hold it up?

Read Next:

• Donald Trump Can Now Sell His DJT Shares — Will He?

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