Digital World Acquisition Corp Stock Forecast: DWAC jumps another 7% to $14 after Trump indictment


  • DWAC stock rises on Trump indictment news.
  • Market thinks trial will make TRUTH Social app more popular.
  • Stock opened up north of $14 on Friday.
  • Trump is expected to turn himself in on Tuesday.

Digital World Acquisition Corp (DWAC) jumped 7.2% at the open on Friday to $14 following Thursday evening's indictment of former President Donald Trump. Trump is the primary owner of TRUTH Social, the media platform that he founded after getting booted from Facebook and Twitter following the January 6, 2020, insurrection. Digital World is the SPAC (special purpose acquisition vehicle) that has been failing to combine with TRUTH Social for more than a year. 

Digital World Acquisition Corp News: TRUTH Social may get influx of new users

Though Elon Musk gave Trump his Twitter account back last fall, Trump has mostly stuck to posting on his own TRUTH Social account. Now that he has been indicted, the thinking goes that millions may join the social media platform in order to follow his acerbic smears – be they against Manhattan District Attorney Alvin Bragg or "the radical left Democrats" who he blames for his current predicament. 

The case at hand is short on details, because it has been filed under seal. What the public does know is that it regards Trump's payoff to pornstar Stormy Daniels during his 2016 campaign, which was allegedly done in order to cover up a sexual escapade. Campaign finance law is riddled with strong dos and don'ts, and former presidential hopeful John Edwards was indicted on a similar campaign finance charge in 2011 following his 2008 run for the presidency but was acquitted. 

"From the time I came down the golden escalator at Trump Tower, and even before I was sworn in as your President of the United States, the Radical Left Democrats - the enemy of the hard-working men and women of this Country - have been engaged in a Witch-Hunt to destroy the Make America Great Again movement," Trump said on his re-election website – www.DonaldJTrump.com

Trump's lawyers expect him to be arraigned on Tuesday or some other date next week where he will be finger printed and then released to prepare his defense. The case will likely be in the news for the next few years. Trump's lawyers have already been telling the press that he will continue his campaign for the 2024 presidential election like socialist candidate Eugene Debs, who ran for president from jail in 1920.

DWAC stock forecast

DWAC bulls primarily need to contend with the descending trendline, which is now around $14.50. This gives DWAC a price level to beat before further upside is considered to be in the cards. If DWAC fails to break above this trendline, it will soon fall back to $13 for support.

DWAC daily chart

 

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