The billionaire owner of Tesla and SpaceX Elon Musk’s cryptic one-word tweet has triggered a massive rally in the cryptocurrency Dogecoin’s value to reach more than 50 percent.
Elon Musk tweeted his support for Dogecoin with the image of rocket with a trailing tweet “Doge” and this triggered the crypto currency’s price to skyrocket. In his following tweets, Musk wrote “Dogecoin is people’s crypto” and “No highs, no lows, only Doge”.
As per the data on blockchain and cryptocurrency website Coindesk, Dogecoin’s price has soared to reach $0.05798, when Musk tweeted his support just two days after he said he was to take a break from Twitter for a while.
Dogecoin is among one of the many altcoins an umbrella term for digital currencies other than the bitcoin. Dogecoin was created by Jackson Palmer 2013.
The Tesla CEO’s tweets about certain companies and cryptocurrencies have created the trend to sent their prices soaring in recent weeks. Shares in GameStop, Etsy and CD Projekt have jumped following his tweets about them. In the crypto world, Musk putting a “#bitcoin” tag on his Twitter bio took the world’s most valued currency flying last Friday. He has since taken the tag off.
Meanwhile, rival cryptocurrency ethereum has also posted a record-setting jump as investors buy it before the launch of ethereum futures on the Chicago Mercantile Exchange next week.
Ethereum rose to a record high of $1,698.56 before giving up some of those gains to trade 2.7 percent lower in early London trading. The most popular cryptocurrency Bitcoin also declined by 1.2 percent to reach $37,184.
Cryptocurrencies are gaining traction with more mainstream investors across the world. The euphoria boosted the total market value of all cryptocurrencies above $1 trillion for the first time earlier in January.