Barack Obama won the South Carolina Democratic primary by a landslide. Hillary Clinton placed a distant second, with John Edwards coming in third.
With nearly all of the precincts reporting late Saturday night, Obama had 55 per cent of the vote, Clinton had 27 per cent, and Edwards was in third with 18 per cent of the vote.
With the crowd chanting, "Yes, we can," Obama addressed his supporters during a victory speech. He told them that what began with his win in Iowa earlier this month continued with his success in South Carolina victory. He highlighted his desire to bring change to the status quo in Washington, and noted that the U.S. is ready for a new type of politics.
"You can see it in the faces here tonight -- young and old, rich and poor, Latino and white," he said. "They are Democrats from Des Moines, some independents, and yes, Republicans from Nevada."
Obama also won the endorsement of Caroline Kennedy, one of the party's most well-known figures and the daughter of the late president John F. Kennedy.
Appearing to lack energy, Clinton told supporters in Nashville, Tennessee, that she wants "the election to be about the next generation."
She said that during her travels on the campaign trail, she's heard from people who are "worried about their jobs, worried about the economy in general ... and worried about our country's standing in the world."
Clinton said she would make sure that "we keep faith with this country we love so much."
Former president Bill Clinton also congratulated Obama at a rally in Independence, Missouri.
"He won fair and square," he said. "We went there and asked the people to vote for us, they voted for him, and we congratulated him. Now we go to February 5, when millions of Americans finally get in the act."
February 5 -- which many refer to as Tsunami Tuesday -- will see more than 20 states hold primaries, and could determine the fate of the candidates. But some analysts say the Democratic race could end up being decided at the party's convention. If that happens, the candidates will be fighting for party delegates.
The contest was painted as a "must-win" for Illinois senator Obama, who lost in New Hampshire and Nevada to Clinton, the junior senator from New York.
Pundits had said there were concerns the vote in South Carolina would break along racial lines. But Obama pointed out that he won in predominantly white Iowa and came in a close second to Clinton in New Hampshire, which does not have a significant black population. About half of the Democratic primary voters in South Carolina were black.
"I'm absolutely confident that when you look at where we are drawing support from across the country that we'll do very well," he told a U.S. cable news network before his victory.
In the run up to the vote, Democrats became increasingly worried this past week about heated bickering between Clinton and Obama. Some feared the personal tone of the debate will ultimately hurt the party.
Much of voter anxiety concerns the Clintons -- both Hillary and Bill. The former president is a beloved figure in the party. But some feared he may have gone too far in trying to help his wife obtain the party nomination
Many had described him as the "bad cop" and "attack dog" of the Hillary Clinton campaign following remarks where he called Obama's media coverage a "fairy tale." He had also picked fights with the press for what he said were unfair portrayals of his wife's campaign. Analysts and even his friends said he was not acting presidential.
With Obama's overwhelming victory in South Carolina, political pundits noted that the Clinton campaign will now have to re-examine the former president's role.
Meanwhile, on the Republican side, Arizona senator John McCain received a significant endorsement Saturday night from Florida governor Charlie Crist. McCain is in a close race in Tuesday's primary in Florida against former Massachusetts governor Mitt Romney. Mike Huckabee, the former governor of Arkansas and former New York mayor Rudy Giuliani are also fighting for strong finishes in the state.
With a report by CTV's Joy Malbon