Elon Musk tweets failed to boost dogecoin or bitcoin

Elon Musk tweets failed to boost dogecoin or bitcoin

Market News
July 4, 2021 by admin
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“It seems that investors are no longer listening and are finally realizing that the tweets of one man should not be the deciding factor for whether they buy or sell their assets,” Alexandra Clark, sales trader at UK-based digital asset broker GlobalBlock, said on Friday. Musk tweeted in support of dogecoin on Thursday by saying
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“It seems that investors are no longer listening and are finally realizing that the tweets of one man should not be the deciding factor for whether they buy or sell their assets,” Alexandra Clark, sales trader at UK-based digital asset broker GlobalBlock, said on Friday.

Musk tweeted in support of dogecoin on Thursday by saying “Release the Doge!” alongside a Godfather-inspired meme depicting actor Marlon Brando. The coin’s price lifted slightly, but not as much as it would have a few months ago. Considering last tweet dogecoin surged 20% in May when he ran a Twitter poll to ask whether people wanted Tesla to accept the token as payment.

The billionaire has been a key driver of the volatility in bitcoin and dogecoin after announcing Tesla’s $1.5 billion bitcoin bet and praising the meme-inspired asset’s potential. More recently, his break-up with bitcoin dragged it back to values not seen since the start of the year. The “Elon Musk Effect,” a phenomenon that roiled the crypto ecosystem this year, when every little tweet from the Tesla boss could send token prices skyrocketing or plunging, seems to be losing its luster.

Several investors have piled into dogecoin via trading app Robinhood, which on Thursday said the meme token accounted for 34% of its crypto revenue in the first-quarter this year. The company warned its business could be adversely affected if demand for the coin declines and isn’t replaced by interest in other cryptocurrencies. Critics have slammed Musk and his tweet storms for sending prices on a rollercoaster and allegedly manipulating the market. With millions investing in cryptocurrencies now, for one individual to have so much power in their hands is potentially dangerous, as it could encourage investors to make decisions based on minimal, or no research.

Ever since Musk’s break-up with bitcoin, the world’s most popular cryptocurrency has been going through somewhat of a lull. It didn’t react much when the billionaire suggested a “promising” outcome of a bitcoin miners’ discussion to make the asset more environmentally-friendly, or when he said Tesla would return to accepting it as payment when miners prove they’re using 50% clean energy.

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