Elon Musk once again proved to be one of the biggest influences on the price of Dogecoin today. The price of the memecoin rose by 6 percent immediately after he posted a tweet that read: “High time I confessed I let the Doge out.”
Will DOGE be integrated on Twitter?
Musk’s tweet immediately sparked speculation within the Dogecoin community. Investors suggested that the tweet implied that DOGE would be implemented on Twitter. However, this is mere speculation. Musk seemed to indicate in a follow-up tweet that it is indeed very wild speculation. He wrote: “Fact check me” in response to one of the Twitter users who suggested the DOGE integration on Twitter.
The Elon Musk effect
It has been proven that Elon Musk’s tweets have a direct effect on the price of Dogecoin. Research from Blockchain Research Lab has shown that almost every tweet from Musk caused Dogecoin’s price to rise.
A total of 47 events were examined and the results showed that there was an average increase of 3% for these tweets. Dogecoin spiked almost immediately after Musk tweeted, followed by another spike after 45 minutes. After that, the price fell back to the level of the first peak. The recent price increase of Dogecoin is proof that the effect has not yet worn off.
However, even today, Musk’s tweet seems to have caused only a short-lived price hike. The price rose 6 percent in about 30 minutes, but already seems to be falling back to its old level.