Bitcoin, Ether and Dogecoin prices surged on Monday after Elon Musk tweeted that he owns the digital tokens and has no plans to sell them.
Bitcoin, Ether and Dogecoin prices surged on Monday after Elon Musk tweeted that he owns the digital tokens and has no plans to sell them. Bitcoin price, which had dropped as much as 2.9% prior to Musk’s tweet, quickly erased the losses before retreating again. Ether price rallied as much as 2.3% before giving up some gains. The 3.8% increase in Dogecoin price over the past hour is the largest gain among cryptocurrencies tracked by CoinGecko.
Musk, the world’s richest man and the chief executive officer of Tesla Inc., is no stranger to social media posts about cryptocurrency. Last May, he said that he has not “and will not” sell any Dogecoin, a token created in 2013 as a joke and that he will become a proponent. In October, Musk said he owns Bitcoin, Ether, and Dogecoin.
This time, he posted a question on Twitter about the likely rate of inflation over the next few years. Michael Saylor, chief executive officer of MicroStrategy Inc. and a prominent Bitcoin speculator, replied: “Weaker currencies will crash and capital outflows from cash, debt, and valuable stocks to scarce assets like #bitcoin will increase. get a raise.”
“It’s not entirely predictable that you’ll come to that conclusion,” Musk countered. MicroStrategy suffered a $147 million loss charge in the fourth quarter as a drop in the price of Bitcoin forced the company to write down its holdings.
