Elon Musk’s Twitter Takeover Has Added $10 Billion to Dogecoin, a Cryptocurrency Created as a Joke

Dogecoin, a cryptocurrency initially created in 2013 as a joke, has surged 131 % since Oct. 4, the day Elon Musk introduced his intention to shut his $44 billion acquisition of Twitter after a months-long authorized battle. Inside a month, Dogecoin gained greater than $10 billion in market cap on hypothesis Musk may incorporate the digital coin someway in his revamping of Twitter.

On Nov. 1, Dogecoin rose 12 % to a six-month excessive of $0.14 after Musk tweeted a textless Halloween picture of a Shiba Inu canine carrying a T-shirt with a Twitter brand. Dogecoin’s sister meme cryptocurrency, Shiba Inu, rose 8 % on Nov. 1.

This yr has usually been bleak for cryptocurrencies, with Bitcoin and Ethereum each down greater than 55 %, underperforming the S&P 500 Index’s 19 % loss. The inventory and cryptocurrency markets rebounded barely in latest weeks, however the achieve is nowhere close to Dogecoin’s monstrous rally.

However the meme coin isn’t utterly resistant to precise financial occasions. Dogecoin fell practically 7 % this morning (Nov. 2) forward of the Federal Reserve’s assembly to additional increase rates of interest to fight inflation. The central financial institution introduced after the assembly within the afternoon it raised its benchmark charge by 0.75 % as anticipated.