- The Trump Media stock continued falling and reached its all-time low after the midterm elections.
- There is a possibility that President Donald Trump will be impeached and possibly removed.
- The stock will likely continue falling as the company’s losses continue falling.
InvestingCube chart · market data
Trump Media stock continued its strong sell-off on Wednesday, reaching a record low, after President Donald Trump suffered a humiliating defeat in the midterm election. DJT fell to $4.50, down 73% from its highest point this year, and by over 90% from its peak. This retreat has pushed its market cap from over $8.6 billion to the current $1.25 billion.
DJT Stock Crashes as Trump Impeachment Risk Rises
Trump Media stock continued its strong sell-off as investors in prediction markets like Polymarket and Kalshi predicted that President Donald Trump will be impeached before his term ends.
Democrats won the Senate and now have 54 seats, and there is a possibility that they will win in Alaska and Mississippi. They also won the House of Representatives by a large margin.
As a result, the odds of Trump being impeached jumped to 80% on Polymarket. Trump has already been impeached twice before, and analysts note that he has committed several impeachable offenses in his second term.
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He has received gifts from foreign governments, including the Boeing 747 jet. Most importantly, Trump’s World Liberty Financial received funds from MGX, a company from the United Arab Emirates (UAE). This happened when the company invested in Binance using the USD1 stablecoin, which has continued generating returns for Trump and his family.
A Trump impeachment would have a big impact on the company because it is associated with him and is the main reason why people visit the website. Indeed, the website traffic has been falling as Trump’s approval rating has fallen and is now the lowest it has been on record. Its website traffic plunged to less than 20 million last month.
These numbers mean that the company’s losses will continue rising in the coming months. This, in turn, will lead to a surge in losses as the company has no path towards profitability.
On the positive side for the stock, the company has accumulated 12,062 Bitcoins, currently worth $968 million.
Trump Media Stock Technical Analysis
Trump Media stock | Source: TradingView
The daily chart shows that the Trump Media stock has been in a downward trend and is now at its all-time low. It crossed the crucial support level of $6.94, its lowest level on June 26 this year, confirming the bearish breakout.
The stock continued its downward trend after the midterm election. It has also plunged below all moving averages and the Supertrend indicator. Therefore, the stock will likely continue falling, potentially to the key support level of $3.50.
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What is your outlook on Trump Media & Technology Group?
Anonymous · no sign-up · results from the last 30 days · not investment advice