Musk Talks Again?..."How Much Is Dogecoin?" Tweet Sparks Price Surge (Summary)

Posting a photo combining a 1-dollar bill and Dogecoin
Netizens "Wishing for a price surge" VS "Market manipulation starts again"
SEC "Do not invest based solely on celebrity statements"

Elon Musk, CEO of Tesla
[Photo by AP Yonhap News]

[Asia Economy Reporter Kim Suhwan] Elon Musk, CEO of Tesla, once again caused Dogecoin to surge through his tweet. This sparked reactions from netizens, with some wishing for Dogecoin's price to soar and others criticizing Musk for market manipulation.

On the morning of the 20th (local time), Musk tweeted, "How much is that doge in the window?" This is a play on the title of pop singer Patti Page's song "How Much Is That Doggie in the Window," replacing "doggie" with "doge," referring to Dogecoin.

Along with the tweet, Musk posted a photo of a 1 Doge coin bill featuring the Shiba Inu symbol of Dogecoin in front of a neon sign that reads "Cyber Viking." Netizens interpreted this as Musk emphasizing that Dogecoin should reach the $1 level.

Some netizens, presumed to be Dogecoin investors, responded enthusiastically to Musk's tweet. They commented, "I like everything you do, Musk," "Let's make Dogecoin $1," and "To the Moon," expressing hopes for Dogecoin's surge.

Additionally, in response to a netizen's tweet suggesting Musk had no intention of selling Dogecoin, Musk replied, "I have not sold any Dogecoin I hold, nor do I intend to."

Musk's tweet stating "I did not sell Dogecoin"

Following Musk's mention, altcoins (cryptocurrencies other than Bitcoin) including Dogecoin surged. Dogecoin's price rose over 10%, from around 38 cents to the 42-cent range. According to CoinDesk, Dogecoin's price increased by 40% compared to 24 hours earlier. Cardano, the third-largest cryptocurrency by market cap, rose 33%. Bitcoin, which experienced a 30% plunge the previous day, rose 14%, and Ethereum, ranked second, increased 27%.

However, after the U.S. Treasury announced guidelines requiring all cryptocurrency transactions over $10,000 to be reported to the IRS, signaling stricter tax enforcement, the cryptocurrency price gains somewhat slowed.

Musk had previously criticized Bitcoin's energy consumption and canceled Tesla's Bitcoin payment option, which led to a sharp drop in Bitcoin's price and criticism from investors.

Instead, Musk is actively promoting Dogecoin. Calling himself the "Doge father," he announced on the 9th that his space exploration company SpaceX will accept Dogecoin as a payment method for a lunar mission planned for early next year. He also tweeted that he is collaborating with Dogecoin developers to develop technology to shorten transaction times.

A tweet where Musk responds to a netizen's question about Dogecoin's electricity consumption

On the 20th, Musk again highlighted Dogecoin's energy efficiency. When a netizen asked on Twitter how low Dogecoin's energy consumption could be reduced, Musk replied, "0.1 kWh (kilowatt-hour)."

Previously, Musk criticized Bitcoin's energy inefficiency and said he would look for altcoins that use less than 1% of Bitcoin's energy consumption, implying that Dogecoin could achieve this goal. According to TRG Data Center, Bitcoin's energy consumption per transaction is 707 kWh, and Dogecoin's energy consumption is known to be lower than 1% of Bitcoin's.

A tweet from a netizen who said they lost all the money they invested because of Musk

However, as Musk's tweets have increased volatility in cryptocurrency prices, critical voices from investors are also spreading. Comments on Musk's Dogecoin-related tweets included, "Because of you, I lost all the money I invested," "Dogecoin will crash again," and "Musk's market manipulation will be recorded in history books."

The U.S. Securities and Exchange Commission (SEC) also tweeted urging more cautious investment as cryptocurrency investors are expected to suffer losses. The SEC's Office of Investor Education and Advocacy stated on Twitter, "Investing in any product just because a celebrity says it's a good investment is never a good idea."

This content was produced with the assistance of AI translation services.