Elon Musk is losing his power over the crypto community after his latest tweets failed to boost dogecoin or bitcoin

Elon Musk and dogecoin

The “Elon Musk Effect,” a phenomenon that roiled the crypto ecosystem this year, when every little tweet from the Tesla boss could send token prices skyrocketing or plunging, seems to be losing its luster.

The billionaire has been a key driver of the volatility in bitcoin and dogecoin after announcing Tesla’s $1.5 billion bitcoin bet and praising the meme-inspired asset’s potential. More recently, his break-up with bitcoin dragged it back to values not seen since the start of the year.

But coming into the second half of 2021, Musk’s influence doesn’t seem that relevant any longer.

Musk tweeted in support of dogecoin on Thursday by saying “Release the Doge!” alongside a Godfather-inspired meme depicting actor Marlon Brando. The coin’s price lifted slightly, but not as much as it would have a few months ago. For instance, dogecoin surged 20% in May when he ran a Twitter poll to ask whether people wanted Tesla to accept the token as payment.

Musk sent out another tweet on Friday with an image of a man on his laptop, seemingly laser-focused on dogecoin and the game Polytopia on the screen.

“It seems that investors are no longer listening and are finally realizing that the tweets of one man should not be the deciding factor for whether they buy or sell their assets,” Alexandra Clark, sales trader at UK-based digital asset broker GlobalBlock, said on Friday.

Several investors have piled into dogecoin via trading app Robinhood, which on Thursday said the meme token accounted for 34% of its crypto revenue in the first-quarter this year. The company warned its business could be adversely affected if demand for the coin declines and isn’t replaced by interest in other cryptocurrencies.

As of Friday, dogecoin’s price has dropped about 65% to about 24 cents since its peak of 68 cents in May.

Critics have slammed Musk and his tweet storms for sending prices on a rollercoaster and allegedly manipulating the market. With millions investing in cryptocurrencies now, for one individual to have so much power in their hands is potentially dangerous, as it could encourage investors to make decisions based on minimal, or no research.

Ever since Musk’s break-up with bitcoin, the world’s most popular cryptocurrency has been going through somewhat of a lull. It didn’t react much when the billionaire suggested a “promising” outcome of a bitcoin miners’ discussion to make the asset more environmentally-friendly, or when he said Tesla would return to accepting it as payment when miners prove they’re using 50% clean energy.

Bitcoin was last trading around $33,000 on Friday, down almost 50% from its peak in April. It’s still up around 15% so far this year.

It gets hard for investors to make investment and balance the skills to be quick on the uptake to beat the crypto market amid a flow of information from one influential voice. But it seems likely that the crypto community may have grown tired with Musk’s tweets, possibly making their influence fade away as just another passing fad.

Read More: The investment chiefs at $1.2 trillion money manager Nuveen spell out ‘best ideas’ for how investors should build their portfolios in 5 major asset classes for success in the second half of 2021

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Elon Musk’s ‘Baby Shark’ tweet sends shares in the iconic song’s investor up 10%

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  • A South Korean publisher with a stake in “Baby Shark’s” creator saw its stock surge after Elon Musk’s tweet about the song.
  • Shares in Samsung Publishing rose 10% before closing about 6% higher.
  • The gains mark another example of Musk’s mega-influence on market movements via Twitter.
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Shares in South Korea-based Samsung Publishing rose more than 10% on Wednesday after Elon Musk tweeted about the viral YouTube song “Baby Shark.”

The company is a major shareholder in the song’s producer, an entertainment firm called SmartStudy. Its shares in South Korea climbed more than 10% during Asian trading on Wednesday, before closing around 6% higher. It has no affiliation with the multinational conglomerate Samsung Group, even though they share the same name.

The Seoul-based company’s stock move was driven by Musk tweeting: “Baby Shark crushes all! More views than humans,” along with a video of the song. Its shares are up 97% so far this year, according to data from Trading View.

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Samsung Publishing’s stock price has quadrupled since the end 0f 2018 as the song grew in popularity. “Baby Shark” became the most-viewed YouTube video ever in November 2020, outpacing the global smash hit “Despacito” by Luis Fonsi and Daddy Yankee.

Even a cryptocurrency inspired by the song was minted in May.

Wednesday’s stock gains marks another example of Musk’s mega-influence on market movements via Twitter. His tweets about bitcoin and dogecoin have led to an uptick in conversations on cryptocurrencies, according to online social analysis platform Cyabra.

Before Musk tweeted in April that “SpaceX is going to put a literal dogecoin on the literal moon,” there were only several hundred profiles engaged online with the meme-inspired cryptocurrency. But a day later, engagement soared over 16,000%, according to Cyabra’s research.

Separately on Wednesday, Musk tweeted a satirical image of the meme-famous Shiba Inu dog with the caption: “Found this pic of me as a child.” Almost immediately after, dogecoin soared 21% to 39 cents.

Read More: Financial researcher Nik Bhatia explains why asset managers with a growth focus could be violating their fiduciary duty if they don’t consider bitcoin – and compares the crypto to Amazon’s stock 20 years ago

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Bitcoin-exposed stocks slide alongside the cryptocurrency as Elon Musk once again wreaks havoc with a tweet

Elon Musk
Tesla CEO Elon Musk

  • Cryptic social-media behavior from Elon Musk suggesting Tesla may have dumped its bitcoin holdings pushed lower stocks linked to the cryptocurrency.
  • Musk later clarified however that he has not sold any.
  • Bitcoin has rebounded after its lowest plunge since February but is still in negative territory.
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Companies exposed to bitcoin slid on Monday in the wake of the cryptocurrency plunging to its lowest level since February after Elon Musk suggested Tesla might have sold its holdings over the weekend.

Bitcoin tumbled to $42,185 on Monday morning, several hours after Musk replied “Indeed” to a Twitter post saying: “Bitcoiners are going to slap themselves next quarter when they find out Tesla dumped the rest of their #Bitcoin holdings.”

The price of the cryptocurrency climbed somewhat when the billionaire clarified that Tesla still holds its stake.

Bitcoin traded lower by 7.9% to $45,064.723 as of 10 a.m. in New York.

Here is where shares of bitcoin-linked stocks stood on Monday morning:

Elon Musk’s May 13 reversal on allowing Tesla to accept bitcoin as payment sent shockwaves across the digital asset ecosystem.

Wedbush’s Dan Ives in a note said the move was “very surprising and confusing,” not only to cryptocurrency enthusiasts but to Tesla shareholders as well.

Musk’s Twitter announcement saying Tesla has suspended vehicle purchases using bitcoin just came three months after the company invested billions in the cryptocurrency and accept it as payment for its electric cars.

Read more: UBS says to buy these 42 ‘new momentum’ stocks that are poised to outperform in a rising inflation environment

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Elon Musk says that SpaceX is going to ‘put a literal Dogecoin on the literal moon’

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Elon Musk.

  • Elon Musk tweeted Thursday morning that SpaceX is going to put a dogecoin “on the literal moon.”
  • Musk regularly tweets memes about both the cryptocurrency and its namesake Shibu Inu.
  • His company is planning its first civilian space flight to the moon in 2023.
  • See more stories on Insider’s business page.

SpaceX CEO Elon Musk tweeted on Thursday that the aerospace company plans to put “a literal Dogecoin on the literal moon.”

Musk is a vocal fan of the cryptocurrency, and has even bought some for his nine-month old son.

He frequently tweets memes starring Shibu Inus, the “doge” dog breed that gives the cryptocurrency its icon and name. He has also said that he plans to buy a Shibu Inu.

Read more: Elon Musk is pumping stocks, cryptocurrencies, and the energy of 49 million loyal followers to dizzying heights. Experts break down the risks of his incessant tweets, from legal trouble to losses for small investors.

This isn’t the first time Musk has alluded to putting the currency on the moon. In late February, he tweeted a meme of a Shibu Inu in a spacesuit on the moon holding a dogecoin flag.

The phrase “to the moon” is used by traders when they expect stock pricing to surge.

It was used during the GameStop saga in January, when Redditors said they would pump several so-called meme stocks “to the moon.”

Cryptocurrency site Cointelegraph reported that, of the 12 people who have walked on the moon, none brought any currency with them.

Musk’s tweet didn’t specify whether he wanted to bring a physical dogecoin coin to the moon, which are sold as memorabilia but do not function as currency.

SpaceX is planning the first commercial, civilian flight round the moon in 2023, with passengers picked by Japanese billionaire Yusaku Maezawa.

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Tesla’s extends 2-day plunge to 20% as epic rally takes a breather

elon musk tesla
Elon Musk

  • Tesla tumbled as much as 12.2% on Tuesday, extending losses following a similarly sized plunge the session prior.
  • The sell-off has dragged shares to their lowest since December and led CEO Elon Musk to relinquish his title as the world’s richest person.
  • Tesla’s latest slump follows confusion over Model Y availability and risk from plummeting bitcoin prices.
  • Watch Tesla trade live here.

Investors continued to dump Tesla on Tuesday, dragging shares to their lowest level since late December.

The automaker sank as much as 12.2% after markets opened. The drop is set to extend a three-day losing streak for Tesla stock that intensified at the start of the week. The Wednesday-to-Monday losses have seen Tesla’s total market cap drop by $80 billion and led CEO Elon Musk to relinquish his title of the world’s wealthiest person.

Tesla traded at a record high of $900 just one month ago as extreme bullishness toward the company’s growth fueled massive gains. Valuation concerns cut into the rally and saw shares waver around $850 through much of February.

Shares closed 9% lower on Monday after the company reportedly halted new orders for the lowest-price version of its Model Y crossover. Musk clarified in a Monday tweet that the model was still available “off menu,” adding he doesn’t think the vehicle’s range “meets the Tesla standard of excellence.”

The move came less than a week after Tesla slashed the variant’s price to $39,990 from $41,990. The automaker also lowered prices for longer-range Model Y versions and its Model 3 sedan.

The price adjustments are “all a poker move” meant to stoke demand for Model Y and Model 3 in China, Wedbush analyst Dan Ives told Insider in an email. Ives has repeatedly deemed China a “linchpin” for Tesla’s continued growth.

The decline was also driven by Musk’s warning of elevated cryptocurrency prices. The CEO took to Twitter on Saturday to caution that bitcoin and Ether prices “do seem high” following the tokens’ recent rallies. Bitcoin surged to record highs earlier in February after Tesla announced it purchased $1.5 billion of the cryptocurrency as a reserve asset.

Musk’s comments contributed to a sharp reversal of the token’s gains. Bitcoin sank below $45,000 on Tuesday, placing the cryptocurrency on track for its biggest single-day loss since March 2020.

Investors are now “starting to tie bitcoin and Tesla at the hip,” Wedbush’s Ives said in a Tuesday note. While the automaker’s investment initially garnered a $1 billion return, the cryptocurrency’s sell-off has pushed some shareholders to sell, he added.

Tesla closed at $714.50 per share on Monday, up 2.8% year-to-date. The company has 25 “buy” ratings, 47 “hold” ratings, and 20 “sell” ratings from analysts.

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