Crypto community had enough of the ‘Elon Musk effect’ phenomenon
A few years ago, Elon Musk, who was a part of the PayPal mafia, decided to make a fortune by creating a private space organization. This organization soon became SpaceX, the Google of space. Nowadays, he has also become involved with the Ethereum project, which aims to create a decentralized, open source platform for building new decentralized applications (dApps). He also has a company called OpenAI, which is a nonprofit company focused on artificial intelligence research.
No one can accuse Elon Musk’s antics of lacking media coverage. It’s no surprise that during his wild ride on Twitter, he’s managed to attract the attention of the mainstream media, who then gave him another platform to talk about his plans for “killer robots”. At one point he was accusing a software engineer of being a paedophile, and then he was urging the SEC to investigate a $100 bill—one of the most valuable US bills—for potentially containing a flaw allowing fraud.
In recent weeks, cryptocurrency investors have been under bombardment from the so-called “Elon Musk effect”, an ongoing phenomenon that has seen cryptocurrency prices skyrocket as CEO of Tesla and SpaceX, Elon Musk makes comments about impending doom, and bitcoin or other cryptocurrencies rocket higher.. Read more about elon musk twitter and let us know what you think.
Summary of the situation
– Elon Musk failed to raise the price of Dogecoin.
– The crypto-currency community believes Musk’s speculation is bad for bitcoin.
Elon Musk, CEO of Tesla and founder of SpaceX, celebrated a milestone in the new year. The tycoon has been a key player in the rise of bitcoin, dogecoin and other cryptocurrencies. But that power is gone and the Elon Musk effect is a thing of the past.
The billionaire became a driving force behind the volatility of bitcoin and dogecoin after announcing his investment in bitcoin Tesla. Musk has invested $1.5 billion in bitcoin, while appreciating the potential of dogecoin. It was a major sign of the tycoon’s confidence in the cryptocurrency market, which has been active since 2008.
Although Musk contributed to bitcoin’s all-time high in May, the cryptocurrency community believes he has lost all credibility. In the second half of the year, Musk lost his grip on the more viable crypto-currencies, such as bitcoin or dogecoin.
On Thursday, Musk tweeted: Free the Doge!!! followed by the Pate meme inspired by the movie. Cryptocurrencies have pushed his capital up a bit, but not to the same level as in the past.
The cryptocurrency community hasn’t forgotten how Elon Musk drove the price of Dogecoin up 20% with a tweet. Before the cryptocurrency’s collapse, the event took place in May, when Musk asked his followers if they wanted Tesla to accept Dogecoin. Reminder: Musk accepts bitcoin as payment for the purchase of one of his Tesla vehicles.
Is it over for Musk?
Musk recently posted a photo on his Twitter of a man on his laser laptop processing Dogecoin. The cryptocurrency community used the tweet to support Dogecoin and the game Polytopia, which can be seen on a laptop screen. However, this has not affected the cryptocurrency, which is now trading below 24 cents.
Alexandra Clark, a trader at GlobalBlock, believes the cryptocurrency community no longer hears or reads Musk’s tweets. Finally, an active virtual currency community believes Musk’s speculation is harmful. That’s because Musk has made bitcoin worthless by not accepting it as a means of payment and changing his mind.
However, some investors in the crypto community still trust Musk as a Dogecoin driver. Some of his fans are hoarding Dogecoin at the cryptocurrency app Robinhood. In the first quarter of this year, the cryptocurrency platform’s revenue from Dogecoin purchases was 34%.
Thanks to the stability of the cryptocurrency market, bitcoin is recovering and trading above $34,000. But Shiba Inu is holding steady at $0.00000862, and Dogecoin is recovering 3% of its price.
Elon Musk has lost his market power, but he may regain his footing. The billionaire plans to meet with the Twitter CEO in the coming weeks to talk about bitcoin. This will essentially determine if there will still be an impact on cryptocurrencies.Two weeks ago, crypto experienced a rollercoaster of a few days involving Elon Musk, the SEC, the SEC’s twitter account, and the SEC’s lawyers. They all had something to do with crypto, and pretty much all of it was bad.. Read more about elon musk calls bitcoin ‘bs and let us know what you think.