Rumble Inc. Stock Skyrockets Following Tether’s Massive Investment RUM shares surged by 44% before the market opened after Tether USDT/USD announced a significant $775 million investment.

Tether’s Investment Fuels Rumble’s Significant Market Gains

Tether has acquired 103.33 million shares of Rumble’s Class A common stock for $7.50 per share, amounting to a total of $775 million. This strategic investment highlights the intersection of cryptocurrency and free expression, a sector marked by rapid change.

Rumble plans to allocate $250 million of these funds toward growth initiatives aimed at reinforcing its role in promoting free speech through video sharing. The remaining funds will be directed towards a self-tender offer to repurchase up to 70 million shares at the same share price of $7.50.

In light of this partnership, CEO Chris Pavlovski underscored the synergies between cryptocurrency and the promotion of free speech.

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A Partnership Built on Common Principles

Both Rumble and Tether are committed to decentralization, transparency, and free expression. Tether’s CEO, Paolo Ardoino, noted the increasing distrust in mainstream media, positioning Rumble as a reliable and uncensored alternative.

This alignment of values sets a strong groundwork for a partnership that could reshape how alternative content platforms interact with both users and creators.

Rumble’s Stock Performance Highlights Potential Growth

The surge in Rumble’s stock is driven largely by Tether’s recent investment. While technical indicators signal strong bullish momentum, caution is advised.

Chart created using Benzinga Pro

Rumble’s stock price currently sits at $10.32, significantly above its eight-day and 20-day Simple Moving Averages (SMAs) of $8.17 and $7.76. This suggests a positive short-term trend. The stock’s 50-day and 200-day SMAs at $6.68 and $6.37 further strengthen the long-term bullish outlook.

Support for this optimistic view is bolstered by a MACD indicator standing at 0.53.

Yet, the Relative Strength Index (RSI) is at 71.96, indicating that the stock may be overbought and could experience a price correction soon.

A Promising Future for Rumble

Despite the overbought RSI suggesting some caution, the momentum indicators and moving averages support a bullish vision for Rumble’s stock. The investment from Tether coupled with Rumble’s growth strategies makes this partnership worth monitoring.

As Rumble prepares to utilize these new resources, investors may find it beneficial to look past immediate fluctuations and concentrate on long-term potential.

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