Dogecoin Price Surges After Elon Musk Tweets In Its Support Amid $258 Billion Case

Just a couple of days after a dogecoin investor sued him in a $258 billion case for allegedly running a pyramid scheme to profit from the meme cryptocurrency, Tesla CEO Elon Musk tweeted that he will keep supporting dogecoin.

The price of the token reportedly soared nearly 13% on Binance due to Musk¡¯s tweets, hitting an intraday high of $0.05877 yesterday, as per ET.

I will keep supporting Dogecoin

¡ª Elon Musk (@elonmusk) June 19, 2022

In a complaint filed in a federal court in Manhattan last week, plaintiff Keith Johnson had accused Musk of racketeering for touting dogecoin on Twitter and driving up its price, only to then let it tumble. Johnson is seeking a total of $258 billion from Elon Musk.

Since Musk began promoting the virtual currency, investors have lost around $86 billion, Johnson estimates, representing the decline in Dogecoin's market value since May 2021. He would like Musk to reimburse dogecoin investors this sum, plus pay double that in damages, i.e. an additional $172 billion, taking the total lawsuit sum to a whopping $258 billion.

According to crypto news tracker Decrypt, from February 2018 to at least February 2019, Musk publicly maintained via Twitter that he owned no cryptocurrency aside from 0.25 BTC. However, in April 2019, Musk tweeted "Dogecoin might be my fav cryptocurrency. It's pretty cool." The cryptocurrency gained immense traction as Musk continued to endorse and hype it on social media.

According to Decrypt, dogecoin searches spiked from 2019 through 2020 around the times Musk tweeted about it.

Developed back in 2013 as a joke/meme coin, dogecoin went on to become one of the most popular cryptocurrencies thanks to Musk¡¯s frequent tweets in its favour.

Earlier in January 202, Musk tweeted that he will eat a happy meal on TV if McDonald's accepted dogecoin. He had also said that he believes the meme coin has the potential to become a currency. The value of dogecoin had jumped over 20% after ¡®Dogefather¡¯ Elon Musk struck deal with Twitter in April 2022.

Around that time, Musk had also proposed dogecoin as payment for paid Twitter subscription, which resulted in dogecoin price spiking around 8%.

Also Read: Elon Musk Says Dogecoin Is Better For Transactions Than Bitcoin

indiatimes

I will eat a happy meal on tv if @McDonalds accepts Dogecoin

¡ª Elon Musk (@elonmusk) January 25, 2022

It has potential as a currency

¡ª Elon Musk (@elonmusk) May 12, 2022

Yeah, I haven¡¯t & won¡¯t sell any Doge

¡ª Elon Musk (@elonmusk) May 20, 2021

bitcoinnews

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