Dogecoin Reclaims Spot As Fourth Most Valuable Cryptocurrency After Elon Musk Fuels Speculation Tesla Could Accept It As Payment

Top line

Shiba Inu-based cryptocurrency dogecoin regained its place as the fourth most important cryptocurrency on Tuesday after Elon Musk, CEO of Tesla, asked Twitter followers whether the company should accept the token as payment for its vehicles. This could legitimize the highly volatile asset and restore some of the value it lost after Musk called it a “hustle and bustle” on SNL Saturday.

Elon Musk asked followers if Tesla should accept Dogecoin.

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Key factors

Within an hour, the billionaire’s tweet received over a million responses, with nearly 80% of people supporting the idea in a poll.

The price of Dogecoin soared almost 14% to around 53 cents per coin, after an all-time high of 73 cents this weekend before Musk’s SNL appearance.

The rally brought Dogecoin a market cap of over $ 68 billion and outperformed XRP as the fourth most important crypto.

Key background

Musk’s much-anticipated appearance on Saturday Night Live sparked interest in Dogen online and resulted in a week-long rally that hit new highs of over 70 cents a coin. The billionaire is one of the most famous proponents of this and other cryptocurrencies, although he has urged people to invest with caution as it is still a speculative asset class. Its value dropped 40% after Musk’s performance. The token is volatile and responds very well to Musk’s actions. Some of the biggest tips for Dogecoin come after Elon Musk’s token was mentioned on Twitter, often with memes.

tangent

Bitcoin hit a new all-time high in March after Elon Musk announced that the cryptocurrency can now be used to purchase Tesla vehicles. This was a much-anticipated move, first teased when Tesla announced it had invested $ 1.5 billion in the controversial asset, and a signal of confidence that it could bring Bitcoin closer to the mainstream -Use. After years of hesitation, large institutions are now turning to cryptocurrencies to meet customer demand.

further reading

“Elon Musk warns people to” invest with caution “as Dogecoin gathers ahead of its SNL appearance” (Forbes)

Bitcoin is rising, as Elon Musk says, can be used to buy Teslas (Forbes)

Dogecoin Rockets Towards ‘The Moon’ – Meme Cryptocurrency Approaches 70 Cent As The Rally Goes On (Forbes)

Dogecoin up almost 40% from record level after Elon Musk ‘SNL’ (Forbes) appearance

“It’s Doge Time”: Dogecoin Rises As Reddit Traders Push To Make It Crypto GameStop (Forbes)

Dogecoin surges above 70 cents to hit record high after Elon Musk SNL Tease (Forbes)

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