Shares of Donald Trump’s social network have surged 50% since the assassination attempt on the former US president at a rally in Butler, Pennsylvania, on Saturday. The stock price move is seen by analysts as a “Trump bet” due to the widespread belief that the shooting has boosted the former president’s chances of returning to the White House in November.
According to the newspaper The keeperInvestors are poised to push the Trump Media and Technology Group stock price to levels not seen since May. The company includes Truth Social, the social network launched by Trump after it was banned from major social media platforms following the January 6 riot at the Capitol. Although Truth Social has been reinstated by Facebook, Instagram, and X, it remains a cornerstone of their social media strategy.
“The stock price is rising because Trump’s chances of winning are increasing. But also because the platform is believed to attract more people after Trump is re-elected,” he explained to the publication. The keeper Neil Wilson, Principal Analyst at Finalto.
Trump Media and Technology Group shares surged 71% in pre-market trading on Monday, the period of buying and selling of stocks before the stock markets officially open. The shares were up 50% from Friday’s closing price of $30.89 (about €28.37), according to Google Finance. If that move is repeated at the opening of trading on Monday, the price increase would add about $3 billion (€2.75 billion) to the company’s valuation.
Trump Media is 60% owned by the former US president, meaning the value of his stake, which was worth around $3.8 billion (about €3.49 billion) on Friday, could rise to $2 billion (about €1.84 billion).
It’s not just Trump’s companies, but the cryptocurrency world as well, that appear to be benefiting from what happened at the Republican rally on Saturday.
Rania Goulet, a market analyst at online trading platform XS.com, told the newspaper The keeper that Bitcoin’s moves reflect some crypto investors’ belief that a re-elected Trump will support the digital asset market.
“If re-elected, Trump could pursue a less strict cryptocurrency regulation policy, which would potentially improve the regulatory environment and encourage more investment,” he said.