05 Apr 2023 Jane Whitmoore
Dogecoin Price Skyrockets After Twitter Changed Its Logo To DOGE
On Monday the price of Dogecoin skyrocketed after Elon Musk changed the logo of his latest acquisition, Twitter, to the famous dog. While DOGE enthusiasts praised this move, some crypto enthusiasts saw it as an attempt to manipulate the cryptocurrency's price.
The coin was created in 2013 as a satire of the cryptocurrency frenzy and has no practical use. Elon Musk's tweet announcing the logo change caused the value of the token to surge to 10 cents, up from 7 cents. With a market capitalization of $13.7 billion, Dogecoin is now the seventh-largest cryptocurrency in the world.
Musk has previously influenced the price of Dogecoin and Bitcoin with his vocal support for cryptocurrencies. Recently, he asked a US judge to dismiss a $258 billion lawsuit accusing him of supporting a pyramid scheme for Dogecoin. In October, Dogecoin doubled in value after Musk announced a $44 billion deal to take over Twitter. While the cryptocurrency exchange Binance invested $500 million into Musk's Twitter buyout, Twitter has yet to announce any specific crypto initiatives.
Over the past two years, Elon Musk has become a prominent supporter of Dogecoin, with any move he makes regarding DOGE resulting in a rally in the meme coin's price. However, some users are starting to get irritated with this pattern, despite the meme token's rise in value.
Musk’s Path to Controversy
This is not the first time that Elon Musk has behaved controversially in the crypto space. In early 2021, when Bitcoin was soaring to new highs, Elon Musk was said to be responsible as he was heavily acquiring BTC at the time. However, when Elon suspended the option to buy Tesla vehicles using Bitcoin, the cryptocurrency crashed, dragging down the entire market with it.
Elon Musk has also been involved in controversy in the stock market. In 2018, Elon Musk tweeted that he would take Tesla private once the share price reached a value of $420, which resulted in charges of fraud by the Securities and Exchange Commission (SEC). The regulatory body noted in its complaint that Musk's statements lacked an adequate basis in fact. Elon Musk eventually settled with the SEC, but in a recent lawsuit, he stated that he was serious about his statement.
In May 2020, Elon Musk caused a crash in his own company's stock after tweeting that the automotive company's stock price was "too high." The stock fell by nearly 12%.
If Elon Musk were to pull another stunt with Dogecoin, it would not be surprising. However, DOGE investors and enthusiasts may want to prepare for potential consequences if anything goes wrong.
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