What drives Elon Musk

After the crash: Elon Musk drives the cryptocurrency Dogecoin again with a tweet

Hardly anyone has influenced the crypto market as strongly in the past few months as Tesla boss Elon Musk. With a new tweet, the PayPal co-founder helped the fun currency Dogecoin to grow again - after crashing it days earlier. Musk tweeted Thursday, "Working with Doge developers to improve transaction efficiency. Potentially promising." The price then grew 18 percent and market capitalization rose $ 10 billion, Gizmodo reported.

Musk is playing with Dogecoin

Just last week, Musk caused a crash of the Dogecoin rate with his appearance on the US talk show "Saturday Night Live" - ​​the fun currency that he had repeatedly supported with his tweets over the past few months. On Saturday, Musk called Dogecoin a "hustle," after which the currency crashed.

A few hours later, the satirical currency recovered after Musk's space company Space X announced that it would accept Dogecoin as payment in the future. With the latest tweet about improving the efficiency of transactions, the meme currency got another boost.

Bitcoin dropped

Just days earlier, Tesla's decision to stop accepting Bitcoin car purchases caused the dominant cryptocurrency to crash 17 percent. The e-car manufacturer is concerned about the increase in fossil fuel consumption caused by so-called crypto mining, it said in a statement on Twitter.

But months earlier, Tesla had been harshly criticized for its support for the cryptocurrency and its purchase of bitcoins worth $ 1.5 billion. The company had received $ 1.5 billion in government sustainability grants the previous year.

Musk's tweets about Dogecoin has sparked a rally for the digital currency in the past few months. At the end of 2020 the meme coin was still worthless, now it has grown to the fourth largest cryptocurrency by market capitalization. (hsu, May 14, 2021)