Dogecoin gained more than 30% after Musk’s tweet

Elon Musk and Dogecoin

Dogecoin went up more than 30% after Elon Musk promised to release products with Tesla logo that can be purchased for this cryptocurrency. Tesla had previously allowed payment in bitcoins, but soon abandoned the idea

The price of Dogecoin rose by more than a third after Tesla founder Elon Musk promised to start accepting this currency as payment for some Tesla products.

Musk wrote on Twitter that Tesla was going to release merchandise with its logo that could be purchased with Dogecoin. “We’ll see how it goes,” the billionaire noted.

After that tweet, Dogecoin rose 36.5% to $0.2175. Its value later dipped below $0.2, CoinMarketCap data shows.

Earlier in an interview with Time magazine, which named him its man of the year, Musk said that Dogecoin seems to him more suitable cryptocurrency for payments than bitcoin: transactions with it are faster and cheaper.

Dogecoin was created in 2013 as a joke, its symbol is the Doge meme, which depicts a Shiba Inu dog. The cryptocurrency became popular in 2021, helped by Musk’s tweets.

At the end of January, the cryptocurrency price was less than $0.01, and in May it reached a record high of almost $0.73.

In February, Tesla announced a $1.5 billion purchase of bitcoins and a decision to accept them as a form of payment for its products. But in May, Musk said the company had abandoned the idea. The businessman explained his decision by saying that Tesla can’t afford to harm the environment, so it won’t accept cryptocurrency as payment until it is mined using renewable energy sources.

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Arsen Islamov
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