Dogecoin Surges 40% After Elon Musk Tweet, Bitcoin at $48,500

Dogecoin Surges

Created by TradeOr

3rd Party Analysis 15 Dec 2021

Key Takeaways:

  • Dogecoin, the meme crypto, rallies 40% to hit 22 cents after Elon Musk releases a tweet
  • Tesla is about to launch merchandise that would be bought by Dogecoin, says Mr. Musk

What’s Today’s News in Crypto?

Dogecoin, the cryptocurrency created as a joke, rallied on Tuesday after Elon Musk released a single tweet. As a result, Dogecoin surged as much as 40% in a few hours, going from 16 cents to roughly 22 cents. Its price was boosted by Elon Musk, who said Tesla will accept doge as payment for Tesla merchandise.

“Tesla will make some merch buyable with Doge & see how it goes,” Mr. Musk wrote in his tweet on Tuesday morning. The short message was enough to add about $10 billion to dogecoin’s market valuation, which shot up to almost $30 billion.

Buying momentum, however, was fairly short-lived. Later during the session, the price of Dogecoin retreated and erased about half of its daily gains. As a result, Dogecoin slipped to levels near 18 cents.

Dogecoin quickly became one of the most-known cryptos, largely thanks to Elon Musk. He’s been a vocal supporter of the token, launched in 2013. Mr. Musk’s tweets have often moved the price of dogecoin. Also, his social media activity has caused sharp swings in bitcoin and Tesla stock.

What’s the Price of Bitcoin?

Bitcoin, the leading cryptocurrency with the biggest market valuation, now hovers near $48,000 per coin. In more detail, the price of bitcoin has been relatively steady early Wednesday as markets trade mostly sideways.

This said, the orange coin gained about 2% in Tuesday’s session, after heavy selling pressure knocked BTC to $45,700 on Monday.

Still, as the year is coming to an end, major tokens can boast with some remarkable returns. In 2021, the price of bitcoin has gained about 70%. Along the way, the token peaked at an all-time high of $69,000 in November.

Ether, the second-biggest coin, has performed even better. Since January, the Ethereum token’s price has advanced more than 500% to current market price of $3,900.

What is the Future of Cryptocurrency?

With this in mind, the future of crypto assets remains bright with many positive developments already in history. Looking ahead, analysts expect bitcoin and the broader crypto market to continue making new record highs as adoption grows.

In that context, be sure to get involved in the market and experience the thrill of crypto volatility.