Crypto community had enough of the ‘Elon Musk effect’ phenomenon

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TL;DR Breakdown

• Elon Musk has failed to get Dogecoin to increase its price.
• The crypto community thinks Musk’s speculations are bad for Bitcoin.

Elon Musk, Tesla CEO and SpaceX founder, marked a milestone in this new year. The magnate was a key player in increasing Bitcoin, Dogecoin, and other cryptocurrencies. However, that power has disappeared, and the “Elon Musk effect” is left in the past.

The billionaire was a Bitcoin and dogecoin volatility driver after he announced his Bitcoin-Tesla investment. Musk invested $1.5 billion in Bitcoin while praising the Dogecoin potential. This was a key sign that the magnate was confident in the cryptocurrency market running since 2008.

The Crypto community thinks Elon Musk lost credibility

crypto community

Although Musk boosted the all-time high that Bitcoin reached through May, the crypto community thinks he has lost credibility. Musk has lost influence over the most suitable cryptocurrencies such as Bitcoin or Dogecoin in the second half of the year.

On Thursday, Musk tweeted “Release the Doge!” followed by a movie-inspired meme of “The Godfather.” The cryptocurrency increased his capital slightly, but not to the level he had done in the past.

The crypto community does not forget how Elon Musk increased the Dogecoin price by 20 percent with a tweet. Before the crypto crash, this event happened in May, where Musk asked his followers if they wanted Tesla to accept Dogecoin. It is to be remembered that Musk accepts Bitcoins as a means of payment to buy any of his vehicles at Tesla.

Is it the end for Musk?

Musk recently tweeted an image of a man on his laptop laser focusing on Dogecoin. The crypto community took this tweet supporting Dogecoin and the Polytopia game seen on the laptop screen. However, this did not affect the cryptocurrency trading below 24 cents today.

GlobalBlock sales trader Alexandra Clark thinks that the crypto community no longer listens to or reads Musk’s tweets. Finally, the active virtual currency community sees that Musk’s speculations are harmful. This occurs because Musk made Bitcoin lose value by refusing to accept it as payment and changing his mind.

However, some investors in the crypto community still trust Musk as a Dogecoin driver. Several of his fans accumulate Dogecoin with the crypto application Robinhood. For the first quarter of the year, the crypto platform had revenue of 34 percent in Dogecoin purchases.

 With the cryptographic market stability, Bitcoin recovers, trading above $34,000. But Shiba Inu maintains a $0.00000862, and Dogecoin recovers 3 percent of its price.

Elon Musk has lost his effect on the market, although he could regain ground. The billionaire plans to meet with the Twitter CEO in the coming weeks to discuss Bitcoin. This, essentially, will determine if it still influences cryptocurrencies.

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Carisbel Guaramato

An avid content creator for over 4 years, Carisbel spends her time on blogs and technology news. She honed her skills as a social communicator and now finds crypto and blockchain news events worldwide for transmission through Cryptopolitan's neutral and incisive way.

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