Today, Elon Musk is one of the most famous, wealthy and influential people on earth. In addition to trying to develop the space industry and having a successful production of electric cars, he has also focused his attention on the cryptocurrency industry. Let’s see how Elon Musk influenced the cryptocurrency.

How Elon Musk influences cryptocurrencies

 

As an engineer, inventor and a leader in the development of innovative technologies, Elon turned his attention to cryptocurrencies. He advocates for the adoption and proper regulation of individual cryptocurrencies.

Moreover, he has repeatedly spoken positively about bitcoin and the DogeCoin meme coin.

Elon Musk is a very popular and famous person. He has more than 70 million followers on the social network Twitter, as well as many followers and like-minded people. That is why, when Elon publishes his opinion about any cryptocurrency, performs some actions related to cryptocurrency, or publicly calls for the purchase of a particular digital asset, then these actions are followed by an instant response from a huge number of participants in the cryptocurrency market.

This is how Elon Musk “manipulates” the market with his statements. It has a really huge impact on its pricing. For example, if he said something good about cryptocurrency or somehow integrated it into his companies, people will follow his example and start buying it. As a result, the asset price will go up.

 

How does Elon Musk influence cryptocurrencies?

 

In order not to be unfounded, I will give a few examples.

1. In the spring of 2021, Elon Musk announced that his Tesla company is starting to accept bitcoins. As a result, against the background of his statement, the rate of the first cryptocurrency has grown significantly. True, after some time it was decided to cancel this innovation, since bitcoin has a bad effect on the environment. It also slightly affected the course in a negative direction.

2. Many examples with Dogecoin cryptocurrency. Elon Musk’s favorite cryptocurrency is Dogecoin. Why Ilon’s eyes fell on this particular coin and what it is you can read in one of the previous articles. However, every time Elon Musk said on his Twitter that this cryptocurrency is interesting, extremely promising, he advised to buy it, it immediately grew up. There were several such cases.

In addition, Musk believes that Dogecoin can replace Bitcoin , and has already included this coin in the list of possible payment methods  for some goods at Tesla. Against the backdrop of all this news, the rate of the coin was steadily going up.

That is why it is worth paying attention to this person and follow his statements. Perhaps this will help you predict the next cycle of the crypto market, and you can make money from it. However, this is only one of the options for analyzing the crypto market.