Looks like we are at the beginning of the alt-season! In a throwback to the bull market of 2017, Elon Musk’s recent endorsement of the cryptocurrency Dogecoin led to a sharp rise in its price. Elon tweeted that Dogecoin was his favourite cryptocurrency.
His tweet was a response to a tweet by the official Twitter account of Dogecoin on account of April Fool’s Day. The tweet had asked for votes on the next CEO of Dogecoin. Musk won the vote with 49% voting in his favour.
Post his tweet, the Dogecoin (DOGE) price jumped by nearly 35% and was trading at $0.0033 (~ ₹0.23) at the time of writing. Interestingly, his statements come nearly a month after he called the Bitcoin structure brilliant.
Interestingly, he didn’t just stop with one tweet. He further tweeted:
Furthermore, he even called himself the ‘CEO of Dogecoin’ in his Twitter bio before changing it to ‘Former CEO of Dogecoin’.
He then added a cautionary note for investors about the volatility of Dogecoin, perhaps anticipating the pump his endorsement would lead to.
While these tweets may have been in humour, it does bring a lot of mainstream attention to the cryptocurrency industry. The attention may also have come at the right time as the market is enjoying a mini-bull run.