What Happened: Elon Musk moved the market once again, as he took to Twitter to declare his support for meme-based cryptocurrency DOGE (Crypto: DOGE).
Tesla Inc (NASDAQ: TSLA) CEO shared a picture of a Doge’s mascot, a Shiba Inu, landing on the moon.
— Elon Musk (@elonmusk) February 24, 2021
The price of DOGE surged sharply after his tweet, sending the cryptocurrency’s supporters into a flutter.
The cryptocurrency was up 10% since Musk tweeted, climbing from $0.05261 to $0.0583 at press time.
Why It Matters: Musk’s tweet was a reference to a popular expression in the cryptocurrency market, “to the moon.”
This term is often used by market proponents to describe a cryptocurrency with a strong upward market trend or a strong belief that it will soon rise significantly in price.
See also: How to Buy Dogecoin (DOGE)
Musk’s support of the cryptocurrency has been evident for all his 47.8 million Twitter followers of late, as his constant tweets about DOGE have been a recurring trend over the past month.
Earlier this week, he tweeted “Dojo for Doge,” seemingly pitching for the cryptocurrency to be powered by a supercomputer, and earlier this month, he encouraged large Doge holders to sell their holdings, citing “too much concentration” creating a barrier to its growth.
If major Dogecoin holders sell most of their coins, it will get my full support. Too much concentration is the only real issue imo.
— Elon Musk (@elonmusk) February 14, 2021
The Shiba Inu-themed digital coin rose considerably each time Musk tweeted about it, effectively making Musk’s tweets act as a trading signal to DOGE holders.
Image: Courtesy of Elon Musk’s Twitter
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