By Alicia Maher
The largest meme token on the blockchain, Dogecoin, has experienced over nine percent (9%) in gains after the eccentric billionaire, Elon Musk announced he had no interest in selling his share of the cryptocurrency. The coin trades for $0.11 on major exchange platforms
The Elon Musk Effect on Cryptocurrencies
Dogecoin underwent an intense period of fall that first began in May, 2021. The meme coin rose to an ultimate high of about point seven-six dollars ($0.76). After an extreme pummel, it recovered for a minute in the eighth and tenth month of 2021 before the five-month streak of fall Elon Musk decided to end.
Musk also owns BTC and ETH in addition his holding of DOGE. This information was made known to the public at an online conference: The B Word, back in July 2021. He declared that he looked forward to the success of the largest cryptocurrency on the blockchain, BTC and had no interest in pushing its price for selfish benefits.
On the tenth month of the same year, the tech world tycoon announced that he purchased three currencies on the blockchain “out of curiosity”. However, he warned his followers not to put all their eggs in the one basket that is, cryptocurrency.
Elon Musk has a stronghold on the crypto industry, this is evident in the temporary market dip that ensued when he said he did not own any Dogecoin or Shiba Inu.
We are still not aware of how much of these cryptocurrencies the Tesla founder owns but the company, had reported having the custody of over two billion dollars ($2,000,000,000) worth of BTC in the second month of this year, as Musk had purchased one point five billion dollars worth of BTC in the beginning of 2021.
The Unstable Future of Weak Assets
The CEO of MicroStrategy, Michael Saylor predicted the fall of struggling currencies. He also said, there will be an exponential increase in the amount of asset allotted to Bitcoin as traders flee from weaker currencies.
Musk cracked a joke on how this situation was not “entirely unpredictable” as it would be blind hope the market remains a bull.
The spike in the U.S. consumer price index (CPI) to seven point nine percent is the highest level of inflation that has been witnessed by the United States in over forty years. The affluent business guru, exercised the question of a “probable inflation rate” in the coming years to his Twitter followers.
Elon Musk also advises his followers to invest in physical assets and stocks in companies with great potential or companies that are known for the sales of quality goods to secure a future amidst the uncertain economy of the crypto industry.