Trump Media Explores New Path with Cryptocurrency DJT has made headlines with an impressive 82.88% increase in value over the past year. However, recent performance shows a significant challenge, with a 30.17% drop in the last six months and a 9.45% decline over the past month.
Recently reported by the Financial Times, the parent company of Truth Social is considering launching a cryptocurrency payment service named TruthFi.
Could this potential new service help the stock regain its lost momentum?
Read Also: Trump Media Files Trademark for ‘TruthFi’, Indicating Plans for Digital Wallets and Asset Trading
The technical analysis of DJT stock presents a mixed outlook.
Chart created using Benzinga Pro
Currently priced at $30.77, DJT stock is trading above its eight-day simple moving average (SMA) of $29.75, signaling short-term bullish conditions. However, the 20-day SMA at $33.53 acts as a resistance level, indicating potential bearish sentiment. The stock’s 50-day SMA of $26.60 supports a bullish view in the intermediate term, while the 200-day SMA of $34.45 suggests overall bearish trends.
Adding to the complexity are momentum indicators; the moving average convergence/divergence (MACD) sits at 0.18, signaling bullish potential, while the relative strength index (RSI) stands at 50.16, indicating neutrality.
Traders are closely monitoring these technical levels for signs of a breakout or breakdown.
TruthFi: A Game Changer for Trump Media?
The trademark application for TruthFi suggests that Trump Media aims to tap into the growing cryptocurrency market. Should it launch successfully, TruthFi may encompass not just payment processing but also trading and asset management, transforming DJT into a multifaceted player beyond social media. However, the uncertain nature of these plans, coupled with market skepticism, leaves the impact and timeline ambiguous.
In addition, there are rumors that Trump Media seeks to acquire Bakkt. These whispers sent Bakkt’s stock soaring by 160%, but details of a potential deal remain elusive.
Moreover, President-elect Donald Trump‘s intention to implement crypto-friendly regulations may enhance the prospects for DJT stock as well.
What Lies Ahead for DJT Stock?
Bulls might view Trump Media’s crypto venture as an opportunity for future growth, while bears cite significant technical resistance and uncertain fundamentals as reasons for caution.
At this crossroads, traders are waiting to see if TruthFi can deliver tangible results, and whether DJT can signal a trend reversal.
Read Next:
Image: Shutterstock
Market News and Data brought to you by Benzinga APIs
