Elon Musk, the CEO of Tesla and SpaceX, posted a sarcastic tweet concerning the meme cryptocurrency Dogecoin (DOGE). It isn’t the primary time Musk has trolled the crypto and Bitcoin (BTC) communities with humorous remarks.
He tweeted “it’s inevitable,” with a picture displaying the “dogecoin customary” dwarfing the worldwide monetary system.
Elon Musk tweets a Dogecoin meme. Supply: Elon Musk Twitter
Responding to a sarcastic tweet asking Musk for misplaced Bitcoin, Musk wrote:
“Excuse me, I solely promote Doge!”
The value of DOGE rose by 14% on the day. Supply: TradingView.com
After Musk’s viral tweet, the value of Dogecoin rose from $0.003052 to $0.003433, by round 14%. Whether or not DOGE rose on account of Musk’s tweet can’t be sure. In contrast to high cryptocurrencies, DOGE has comparatively low liquidity, which leaves it susceptible to short-term pump and dumps.
Musk continues to lightheartedly entertain the crypto neighborhood
In latest weeks, a viral TikTok sensation despatched the value of Dogecoin surging. Knowledge from CoinMarketCap exhibits Dogecoin rose from $0.0023 to as excessive as $0.005 inside merely three days from July 6 to 9 in consequence.
Musk’s tweet seems to be in reference to Dogecoin’s sudden enhance in reputation within the mainstream. The unexpected spark in interest about the cryptocurrency on TikTok garnered vital media protection.
All through the previous yr, ever since Musk declared that his favourite cryptocurrency is Dogecoin, he has repeatedly tweeted about crypto.
Musk said in April 2019:
“Dogecoin is likely to be my fav cryptocurrency. It’s fairly cool.”
In mid-2019, Musk won a poll to turn out to be a self-proclaimed CEO of the meme-inspired cryptocurrency. That solely propelled Musk to put in writing much more sarcastic jokes about cryptocurrencies.
In Could, in response to J.K. Rowling’s tweet about Bitcoin, Musk wrote:
“Just about, though huge forex issuance by govt central banks is making Bitcoin Web cash look stable by comparability.”
He added:
“I nonetheless solely personal 0.25 Bitcoins btw.”
Is Musk tweeting about crypto helpful for the trade?
Musk seemingly enjoys entertaining the crypto trade with the occasional meme tweets. He fairly clearly will not be a severe investor in cryptocurrencies, in contrast to the likes of different standard figures comparable to Paul Tudor Jones.
However, there’s a silver lining with having arguably one of the high-profile and influential CEOs within the U.S. tweet about crypto often.
Cryptocurrencies, as an asset class, nonetheless stay as a distinct segment market for a lot of traders. The market capitalization of Bitcoin, essentially the most dominant cryptocurrency within the world market, is smaller than that of Tesla.
Dan Tepiero, the founding father of DTAP Capital, wrote:
“Not trying like a high in TSLA. In reality, simply broke out 7 days in the past. At this charge, Elon Musk turns into world’s richest individual in just a few months. The market is at all times proper. What’s it telling us concerning the future? Internet value now equal to 25% of all Bitcoin. Perhaps he buys just a few?”
For an asset class in an early part of development, cryptocurrencies may gain advantage from the publicity Musk brings to the trade.
— to cointelegraph.com
