Elon Musk does not forget about Dogecoin: the day before, the billionaire mentioned the coin on Twitter, which led to its slight local growth. The key word here is “small”, because the altcoin almost does not react to attempts to create a hype on the part of Elon.

At the same time, it was he who was the main reason for the rapid growth of DOGE at the beginning of this year. This means that now crypto enthusiasts are suspicious of many of Musk’s messages, especially after his negative attitude towards Bitcoin.

We have checked the actual data on the situation with Dogecoin. Today, the cryptocurrency rate is 24 cents, which is 4.5 percent lower than the result of a day ago. Accordingly, Elon’s activity could even harm those who tried to make money on the entrepreneur’s tweets after they were published.

The current rate of the coin lags behind the high of 73 cents at 66.6 percent. This means that many novice investors who have contacted the cryptocurrency industry with DOGE have probably already lost some of their investments. This is how the Dogecoin chart looks in 2021.

Dogecoin timeline 2021

Dogecoin price chart in 2021

Musk was particularly active in supporting DOGE until late spring. In particular, in May, he proposed to accelerate the creation time of a block in the cryptocurrency network and its size tenfold, as well as reduce commissions a hundredfold. According to him, in this case, the project can become “one of the best”. And although this position was criticized by the creator of Ethereum Vitalik Buterin, Musk continues to mention the cryptocurrency.

Why Dogecoin is not growing

The first of the recent messages was published on July 1 at 11:43 am Moscow time. A meme with the caption “release Doge” was attached to it . Seconds after the message, the altcoin price jumped a little more than 8 percent, but again began to roll down to almost the same value.

Note that earlier references to DOGE by Elon raised the cryptocurrency rate by tens of percent for a limited time. This was also facilitated by the growing market, which has now moved to a stage of decline and the so-called flat – that is, movement in a certain price range without prerequisites for active growth.

At 12:24 pm Moscow time, Musk once again mentioned the coin in a message with the following text:

Baby Doge, doo, doo, doo, doo, doo, Baby Doge, doo, doo, doo, doo, doo, Baby Doge, doo, doo, doo, doo, doo, Baby Doge.

Doge is up 5.22 percent again after the second tweet. Below you can see a chronology of Musk’s tweets on the 1-minute cryptocurrency price chart. As you can see, the effect of tweets is almost negligible compared to how Musk managed to pump Dogecoin before – that is, raise the rate of the cryptocurrency.

Dogecoin cryptocurrency blockchain

Timeline of Musk’s tweets on Doge’s chart

The most interesting thing is that there is a Baby Doge Coin project in the industry, the name of which coincided with the content of Elon’s tweet. In this regard, traders predictably undertook to buy this cryptocurrency – someone for quick earnings, and someone out of a desire to contact the project for a long time. As a result, over the past 24 hours, BABYDOGE has grown by 95 percent. Here is a graph of the cryptocurrency rate for the last week.

Baby Doge cryptocurrency course

Baby Doge price chart

Note that dealing with such projects for a long time is a very risky business. Since these cryptocurrencies are unremarkable and exist purely for fun, they are the first to crash as the market corrects. Accordingly, investors sell them in order to fix themselves in another asset or stablecoin, that is, a coin pegged to the value of the dollar.

The CoinGecko platform has virtually no data on Baby Doge. There is no information on the market capitalization of the project and its bidding. And this is another argument not in favor of the coin.

coingecko baby doge data

Lack of data on the Baby Doge project on Coingecko

Musk’s tweet was reacted by a well-known cryptocurrency fan under the pseudonym CoinMamba, who has more than 160 thousand followers on Twitter. Here is a quote from his post.

Sorry, but this is no longer funny. Find something else to amuse yourself.

Representatives of the Baby Doge project said that they are “ready to cut off their limb for the sake of the opportunity to work with Elon.” And they supplemented it with such an image.

elon musk baby doge cryptocurrencies

Baby Doge and Elon Musk

As a result, the cryptocurrency was in fourth place in terms of trading volume on the PancakeSwap decentralized exchange. It also bypassed the platform’s native token, Cake.

PancakeSwap cryptocurrency rating

Top cryptocurrencies by trading volume on PancakeSwap

A user under the pseudonym NFTeddy with 120 thousand subscribers was disappointed in Musk’s activity and the capabilities of an entrepreneur. Here is a quote from his tweet, which he added with the appropriate graph.

Heck. Now even Elon Musk cannot propump DOGE. We will all die in poverty, won’t we?

elon musk doge tweet

Dogecoin chart with Elon Musk’s tweet tagged

And here is a tweet from a user named UM, which received the approval of the readers.

I know more people who lost money on your DOGE pumps instead of earning money. Too many of them are too irrational and emotional to benefit financially from your publications. So you do more harm than good.

At the same time, marketing professionals took advantage of the event for their own PR. This was done by representatives of the company-manufacturer of deodorants AX, who shared a gif of their product “with the scent of a crypt.”

We believe that the current situation demonstrates a decrease in the influence of Elon Musk on the cryptocurrency industry. Apparently, investors are already used to the entrepreneur’s controversial tweets, which is why his publications no longer cause the same admiration. In addition, it is important to take into account that novice investors really see authority in the Mask and therefore opened unsuccessful positions on DOGE, which ended in loss of funds. We hope that in the future, Elon’s influence on the digital asset industry will become even less.

Leave a Reply

Your email address will not be published.