Elon Musk, the tech mogul and cryptocurrency influencer, recently caused a surge in the price of a meme coin following his online commentary. The coin in question experienced a rapid price increase, only to settle back slightly afterwards. This is not an isolated event, as Musk has a history of affecting the crypto market through his remarks on social media platforms.
Musk’s Influence on Meme Coins
Musk’s affinity for Dogecoin is well-known, and his recent interactions have also triggered fluctuations in the values of other meme coins, including PEPE and WIF. The billionaire entrepreneur’s comment on a humorous post attracted investor attention to PEPE, a cryptocurrency with a frog theme.
The immediate reaction to Musk’s engagement was a noticeable uptick in PEPE’s price, although the bump was less pronounced compared to previous incidents. Musk’s influence has been a repeated catalyst for Dogecoin’s value spikes, demonstrating his significant sway over the digital currency landscape.
PEPE’s Market Response
PEPE’s value briefly rose by 5% to $0.0000078 following Musk’s comment, before dipping to $0.00000763. The meme coin had already been performing well, yielding a 500% return for its investors over the past month amidst Bitcoin‘s record highs.
The market capitalization of PEPE expanded by 4%, hitting a notable $3.2 billion and securing the 41st spot in market rankings. Despite the sharp price movement and growing market cap, the 24-hour trading volume for PEPE reduced by over 30%, suggesting a potential decline in investor trading activity or a decrease in interest towards the meme coin.