Elon Musk, the billionaire and CEO of SpaceX has influenced Dogecoin once again as recent news of his acquisition of Twitter shares caused a surge in the price of the memecoin.
Doge whales Boosted Price by 10%.
The price of Dogecoin jumped by 10% to a two-month high of $0.157 following news that the American business magnate had secured a large portion of Twitter shares. This rise follows a constant drop from its $0.167 peak in early February.
Elon Musk purchased up to 9.2 percent of Twitter’s stake valued at $2.89 billion concerning the price of Twitter(TWTR) on the NYSE according to US security filing this Monday, making him the social media company’s largest stakeholder even over four times larger than founder Jack Dorsey’s 2.25% position.
Why Does a Billionaire’s Shares Acquisition Have an Impact on Memecoin?
It’s not shocking that the recent report of the Tesla CEO Elon Musk’s interest in Twitter influenced the price of Dogecoin; despite not being directly or indirectly involved with the meme coins conception or having any ties with the creators Jackson Palmer and Billy Marcus, Elon Musk has been one of the most prominent pioneers of the meme coin.
Some Doge supporters on social media have speculated that, given his current position on Twitter, the social media platform will most likely start accepting DOGE as a payment option alongside BTC and ETH, which are currently only accepted, though it is unclear if the business magnate will be directly involved in the company’s decision-making.
Musk has been giving Dogecoin free publicity on Twitter and other channels for years, which has influenced the surge in the coin’s price on multiple occasions.
In an interview with Time Magazine in December last year, he claimed that he feels Dogecoin is better for transactions than Bitcoin.
Musk also revealed that Tesla—his electric vehicle manufacturing company would accept DOGE payments around the same time, causing the meme coin to soar by 19%.
His interest in Dogecoin was made clear in his Twitter exchange with Binance CEO Changpeng “CZ” Zhao in response to news of DOGE’s issues on exchange. Musk has also stated that he owns Dogecoin among other virtual assets.
While it’s unclear what his interest is with Dogecoin, Elon Musk has made statements about other cryptocurrencies, influencing the market to some level. BTC’s price soared by 8% past $32,000 in July of last year after Musk revealed that he owns some of the digital coins.
