Elon Musk’s Efforts to Champion Dogecoin Are Likely Just Beginning

Dogecoin - Elon Musk’s Efforts to Champion Dogecoin Are Likely Just Beginning

Source: Shutterstock

Dog-inspired meme coin Dogecoin (DOGE-USD) has recently received a lot of help from Elon Musk. The Tesla (NASDAQ:TSLA) CEO continues to be one of the most active business people on the planet. There’s a lot of reason to believe Musk is just getting started when it comes to using that energy to move DOGE to higher highs. 

Elon Musk recently revealed a 9.2% stake in the social media giant, Twitter (NYSE:TWTR). That means he is the largest individual shareholder in Twitter. It also coincided with Musk being named to the company’s board of directors. As a result, his stake was to be capped at a maximum of 14.9% of total shares. But more importantly, it meant that Musk would have greater say over the direction Twitter takes. 

But things have changed. In a significant reversal, Musk isn’t joining Twitter’s board. His stake in the company likely won’t be capped at 14.9% moving forward. That means he can potentially buy a much greater stake in TWTR stock — perhaps a stake that will allow him to leverage much greater control over the platform of which he has been critical in the past. It is even stirring debate that Musk could take over Twitter, according to some sources.

That means he will have even greater leverage as an influencer on the platform. This brings us to Dogecoin. He hasn’t been shy about professing his appreciation for the crypto through Twitter in the past. A well-established correlation between his tweets and spikes in DOGE prices has been documented. 

He also isn’t shy about flouting the Securities and Exchange Commission (SEC), despite its warnings. Tesla’s Cyber Rodeo event commemorating the opening of its Austin gigafactory proved as much. Drones were used to create a visual of the Shiba Inu breed that represents Dogecoin’s branding. 

It was a clear indication Musk isn’t backing down. It should ingratiate him further as something of an outlaw to the crypto community, which is already anti-regulation. It also suggests Musk will be taking to Twitter to champion Dogecoin moving forward. His influence is only increasing. Even if he doesn’t utilize the social media platform, he’s likely to find other ways to let it be known he remains a fan of DOGE. 

Expect an increase in references to Dogecoin by Musk. Those references correlate to price spikes, which suggests DOGE will be trending upward for the near term and perhaps longer. 

On the date of publication, Alex Sirois did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.

Alex Sirois is a freelance contributor to InvestorPlace whose personal stock investing style is focused on long-term, buy-and-hold, wealth-building stock picks.Having worked in several industries from e-commerce to translation to education and utilizing his MBA from George Washington University, he brings a diverse set of skills through which he filters his writing.

Article printed from InvestorPlace Media, https://investorplace.com/2022/04/elon-musks-efforts-to-champion-dogecoin-higher-are-likely-just-beginning/.

©2022 InvestorPlace Media, LLC