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Dare To Be Better

Musk buys Twitter: influence on the crypto market?

Elon Musk, the founder of SpaceX and Tesla, bought Twitter for $44 billion and took over as CEO. The Dogecoin cryptocurrency’s market value surged by $10 billion. Simultaneously, the Shiba rate has risen by more than 100% since Friday.

Musk buys Twitter: influence on the crypto market? (by bit4you)

Context

The recent surge of DOGE is because the rest of the cryptocurrency market is declining. Bitcoin and Ethereum are still more than 70% off their all-time highs, while DOGE, despite its recent surge, is still down 78% from its all-time highs. Dogecoin is now the 8th most valuable cryptocurrency, with a market value of $18.5 billion. Learn more about Dogecoin by visiting the bit4you Academy.

The influence of Elon Musk on the crypto industry

Cryptocurrencies have proven to be sensitive to Elon Musk’s tweets; one of his words may cause rates to drop or surge.

Monopoly on influence

“Elon’s dominance [on the cryptocurrency market] will not stay forever,” Vitalik Buterin told CNN in a May 2021 interview. Musk’s tweets first appeared in the cryptocurrency arena in 2020, according to him. Vitalik Buterin believes that markets will adapt to his influence in the future.

How do social networks affect the crypto field?

Social networks have become well-established in today’s culture and affect cryptocurrency rates. The point is that socials drive customers’ perceptions about cryptos. If that impression is attractive, prices rise. However, if the coin receives negative feedback, prices may decline.

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bit4you is an european crypto exchange platform. We are facilitating the transition between crypto currencies and traditional currencies such as euro.