Famous memecoin, Dogecoin, increased by 10% on Monday as Tesla boss Elon Musk disclosed that he has a 9.2% stake, worth about $2.88 billion, in the major social media company, Twitter Inc (TWTR).
According to data, the Dogecoin token, DOGE, advanced from $0.143 to over $0.156 a few minutes after Musk’s statement about the stake made the news at 10:30 UTC.
The value appreciation had a ripple effect on other memecoins like Shiba Inu. As a result, SHIB also spiked by 5% following the DOGE upward movement.
Currently, Elon Musk owns 73,486,938 ($2.89 billion at the current price) of common stock in Twitter Inc. So it is no surprise that Musk is an influential figure in the cryptocurrency market, and his electric car company, Tesla held over $2 billion worth of bitcoin at the end of last year.
Furthermore, the Tesla boss began accepting bitcoin for payment for its cars in 2021, but the project was called off due to climatic concerns. He also took DOGE’s value to another level by 11% in January when Tesla accepted the memecoin as payment on its online merchandise store.
Musk has shown no secret about his support for the dogecoin development and adaption. Additionally, Musk revealed in a May 2021 tweet that he was working to improve the system efficiency with the dogecoin developers, and this sent the token’s price to rise by 22%
In June 2021, he later tweeted that it was valuable to support a proposal to reduce dogecoin fees, making it more competitive than other cryptocurrencies.