Elon Musk, the controversial CEO of Twitter and Tesla surprised crypto enthusiasts and Dogecoin fans on Tuesday by offering some cautious financial advice. Speaking at a virtual conference hosted by the Wall Street Journal in London, Musk stated, "I'm not advising anyone to buy crypto or bet the farm on Dogecoin."
This statement marks a departure from Musk's previous actions, which have often influenced the price and popularity of Dogecoin. Dogecoin, created in 2013, gained traction as one of the first meme coins, which are cryptocurrencies known for their humorous and speculative nature. With a market capitalization of over $10 billion and a value of around seven cents per coin, Dogecoin's rise in popularity attracted Musk's attention. He even referred to himself as the "Dogefather" during a sketch on Saturday Night Live.
Musk's social media posts and mentions of Dogecoin, such as sharing pictures of his dog or expressing support for the cryptocurrency, had a significant impact on its market capitalization. For instance, when Musk briefly changed the logo of Twitter from a bird to a Shiba Inu, the dog breed associated with the Doge meme, Dogecoin's price soared.
However, Musk's frequent allusions and apparent endorsements of Dogecoin have led to legal challenges. Investors have filed a class-action lawsuit against him, accusing him of manipulating Dogecoin's price to his advantage.
Despite the controversies surrounding his involvement with Dogecoin, Musk remains a steadfast supporter of the cryptocurrency. At the conference, he emphasized that while he doesn't encourage the general public to invest in Dogecoin, it remains his favourite due to its humour and its association with dogs.
Musk's recent cautious advice reflects a more measured approach to cryptocurrency investment, diverging from his previous flamboyant behaviour. It remains to be seen how his statements will impact the market and the future of Dogecoin.
By Mahesh from Modern Crypto World
