Dogecoin Leads Crypto Gains as Musk’s Tweet Drives 12% Surge

Dogecoin Surges on Elon Musk's Tweet

Updated: October 17, 2024 at 04:56 AM

Read Time: 2 minutes

News

Dogecoin experienced a 12% surge in 24 hours, driven by Elon Musk's latest tweet that sparked investor interest in the cryptocurrency.

Over the past week, Dogecoin outperformed the top 40 cryptocurrencies, rising nearly 18% thanks to Musk's continued support. Despite its decline from its 2021 peak, Dogecoin remains a prominent cryptocurrency largely due to its dedicated fan base and Musk's involvement.

Musk's Tweet Ignites Dogecoin's Rise

Dogecoin, the original meme cryptocurrency, made headlines again after a 12% increase within the past 24 hours. According to CoinGecko, the token traded at $0.1287, a significant jump in price. This surge followed a tweet by Tesla CEO and SpaceX founder Elon Musk.

On Tuesday, Musk tweeted "D.O.G.E will fix it" in response to a Los Angeles Times report about California officials preventing SpaceX from launching more rockets. This tweet generated considerable buzz on social media, particularly among investors and the Dogecoin community, who interpreted Musk's words as an endorsement of the cryptocurrency.

Although Musk's tweet technically referred to a hoax about a "Department of Governmental Efficiency" related to former President Donald Trump's ideas about government improvement, it didn't take long for traders to associate the term with Dogecoin. Musk has a history of promoting Dogecoin, leading many to believe that his recent tweet was another positive signal for the cryptocurrency.

Dogecoin's Future Outlook

Launched in 2013 as a joke to satirize the seriousness of Bitcoin and digital currencies, Dogecoin has since become the ninth-largest altcoin by market capitalization, valued at nearly $18.5 billion. Despite being down 83% from its 2021 peak, Dogecoin remains popular primarily due to Musk's continued support. Even during its peak, Musk often joked about the cryptocurrency, contributing to its popularity.

While Musk appears to have scaled back his involvement with Dogecoin and it's unclear if he's still collaborating with its core developers, his recent social media comments have significantly impacted its price. Staking is just one of the positive trends associated with Dogecoin's price, and Musk's social media activity shows no signs of slowing down.