Studying the Elon Musk ‘tea leaves’ — Is Dogecoin coming for Twitter?

admin

[ad_1]

A refined change in Elon Musk’s Twitter bio after his platform’s rebrand to “X” has once more fanned the flames of hypothesis — that Dogecoin (DOGE) could have a future on the platform.

On July 25, eagle-eyed Twitter (now X) customers started mentioning that Elon Musk’s profile location now sports activities each an “X” and a “D” — with X referencing Twitter’s new branding, whereas D has been interpreted to imply Dogecoin — a memecoin he has been publicly supportive of prior to now.

Different observers, comparable to Actual Imaginative and prescient CEO Raoul Pal got here to the same conclusion, albeit with totally different reasoning.

In a July 25 tweet, Pal mentioned Musk would most probably use Dogecoin to make world funds for creators on the platform, noting that the eccentric billionaire already “owns an enormous chunk anyway” and “he likes it.”

When requested why Musk wouldn’t create his personal platform-specific token for these funds, Pal prompt that Dogecoin may assist Musk get round securities legal guidelines, giving him “zero execution danger.”

Twitter’s rebrand to X got here with little warning on July 24, formally making the crossover at 10 am UTC. Musk’s reference to Dogecoin and the ensuing hypothesis managed to attain a small worth achieve for the memecoin, which rose as excessive as 5%, in response to data from TradingView.

It’s at the moment buying and selling at $0.07, up 9.5% over the past seven days.

Associated: Elon Musk to rebrand Twitter to X, but Crypto Twitter has other ideas

In emailed feedback to Cointelegraph, eToro market analyst Josh Gilbert mentioned that whereas the rebrand could present a short-term rally for Dogecoin, Musk’s transfer may additionally yield important impacts for the crypto market in the long run.

“It does have implications for crypto within the short-term because it strikes markets. But it surely’s within the long-term as Musk appears to construct out fee networks utilizing his personal platform that would quickly compete with the likes of Ethereum, Bitcoin or others,” Gilbert defined.

“Whereas the market reads the tea leaves of Musk’s selections, it is higher for buyers to not turn out to be distracted by short-term occasions and give attention to the longer and wider developments,” Gilbert mentioned.

Journal: How smart people invest in dumb memecoins — 3-point plan for success