Elon Musk takes the Dogecoin hype down while the DOGE price rises 23%

Hours before Elon Musk’s appearance on Saturday Night Live, Tesla’s CEO seemed anxious to cool off the hype he’d created around the meme cryptocurrency Dogecoin (DOGE).

Months of carefree construction resulted in a sobering punchline on Thursday when Musk reminded his Twitter followers that cryptocurrency investments remained speculative. Musk re-published a February TMZ interview in which he replied whether he believed Dogecoin has lost value due to the inflationary supply. Musk acknowledged that was the case at the time, adding:

“I think people shouldn’t invest their savings in cryptocurrency to make that clear. I think that’s unwise. “

Musk said he believed there was a chance that cryptocurrency could become the major currency on earth, but knowing which one it would be remained guesswork.

“There is a good chance that crypto is the future currency of the earth … and then it is this: which one will it be? And maybe there will be several. But it should be considered speculation at this point, ”Musk said at the time.

Dogecoin became one of the crypto stories of the year after Musk decided to take over an already stray joke coin. Doge’s subsequent 14,000% surge in 2021 was partly aided by Musk’s social media posts and traders’ desire to pump a near-dead coin similar to stocks like GameStop and AMC.

Although Musk reminded investors to be cautious, DOGE’s dollar value rebounded 23% early Friday morning after losing a quarter of its value after rising to $ 0.69 mid-week. The coin price jumped from $ 0.52 to $ 0.64 in the hours immediately after Musk posted the TMZ video on Twitter, accompanied by the warning: “Cryptocurrency is promising, but please invest with caution!”

However, Musk suggested that the most entertaining outcome might be the one that ultimately prevails. Regarding Dogecoin, Musk said:

“Fate loves irony. What would be the most ironic result? That the currency invented as a joke actually becomes the real currency. “

Reporters bombarded Musk with claims that his tweets caused her Dogecoin investments to increase – a common trend that is supported by more than an amount of evidence.

Musk had previously claimed he would welcome any official investigation into the impact of his tweets on the price of Dogecoin, but when asked about the potential to see another price-defining tweet from him, the Tesla CEO responded negatively.

“No,” said Musk, getting into his car. “Well it is,” he added. “Don’t take too much risk with crypto.”

Disclaimer: This article has been updated to reflect the correct timing of Elon Musk’s interview with TMZ.

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