Elon Musk recently posted a meme referencing the Department of Government Efficiency (D.O.G.E.), which briefly impacted Dogecoin’s price. Although the post appeared unrelated to the cryptocurrency, a correlation was observed between Musk’s activity and DOGE’s performance. Despite the temporary price increase, DOGE’s value declined shortly afterwards.
Questions Surrounding Intentions
Musk’s actions have raised questions about whether his tweets intentionally influence DOGE’s price. A recent class-action lawsuit accused him of manipulating Dogecoin’s value since 2021 through similar posts.
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Plausible Explanations for Musk’s Posts
Musk’s public admiration for memes and the DOGE name may explain his behaviour. By naming the agency D.O.G.E., plausible deniability is provided, suggesting no direct reference to the cryptocurrency. However, whether these posts are intentional or coincidental remains unclear.
The ongoing debate highlights the influence of Musk’s social media activity on the cryptocurrency market and the challenges of establishing intent in such scenarios.
