Elon Musk's two tweets on Dogecoin drive value of cryptocurrency up by 7%

Elon Musk (File image)

Two tweets by Tesla and SpaceX founder Elon Musk drove the value of Dogecoin up by seven percent on July 1. On the other hand, two other cryptocurrencies - Bitcoin and Ether - traded lower.

Dogecoin, after trading below $0.24 in the early hours of trading, surged to $0.2573 after Musk's tweets, as per the data shared by CoinMarketCap. The 24-hour trading volume was stated as $2,762,760,820, by the time this report was published.

The surge in Dogecoin's value following Musk's tweets suggested that the billionaire is still capable of influencing the cryptocurrency rate. One of his tweets was a meme linked to Hollywood movie The Godfather, with a caption that read: "The Godfather, with the caption: "Release the Doge!"

The second tweet appeared to be a song on Dogecoin.

Baby Doge, doo, doo, doo, doo, doo,
Baby Doge, doo, doo, doo, doo, doo,
Baby Doge, doo, doo, doo, doo, doo,
Baby Doge

— Elon Musk (@elonmusk) July 1, 2021

Musk, earlier this year, generated massive interest in Dogecoin through his repeated tweets on the cryptocurrency that was launched in 2013 as a "joke token".

After driving up the prices of Dogecoin, Musk is considered to have led its fall after he called it a "hustle" during his appearance at the Saturday Night Live in May. The value of Dogecoin dropped by 65 percent since then.

He was further credited for the overall reduction in cryptocurrencies value after Tesla decided not to accept payments in the form of virtual currencies due to its immense usage of energy.