Dogecoin Value Spikes after Elon Musk Tweets about Cryptocurrency, Ending Twitter Break

The value of Dogecoin has spiked after SpaceX and Tesla CEO Elon Musk ended his break from Twitter to post about the cryptocurrency originally created as a joke.

In a flurry of tweets on Thursday, Musk wrote: "Doge," "Dogecoin is the people's crypto," and "No highs, no lows, only Doge." He also shared a famous image of Lion King character Rafiki lifting up Simba, with his face over the monkey's and the Doge meme Shiba Inu dog as the lion cub.

ur welcome pic.twitter.com/e2KF57KLxb

— Elon Musk (@elonmusk) February 4, 2021

According to CoinDesk, the value of Dogecoin spiked by 43 percent following Musk's tweets, from $0.041 to $0.059.

His tweeting spree came after the billionaire engineer and tech entrepreneur announced on Tuesday he would be "off Twitter for a while." Musk did not say why he was taking a break from the social media platform where he has 45.1 million followers.

Musk broke his silence with a tweet about the launch of SpaceX's Falcon 9 rocket, explaining it was a "tough one" due to "high seas & wind," before sending 12 tweets on Dogecoin and other topics. One tweet read "Sandstorm is a masterpiece," an apparent reference to the 2000 dance track by Darude.

Seemingly acknowledging the absurd nature of his tweets, Musk wrote "Low-key Loki." The Norse god is known as a prankster.

Musk also deleted his Twitter bio, after he changed it to "#bitcoin" a week ago.

The tweets marked the latest chapter in the tongue-in-cheek relationship between the cryptocurrency that was created as a joke based on Litecoin in 2013, and came amid an eventful few days for Dogecoin.

The coin made headlines recently partly thanks to support from the subreddits r/dogecoin and r/SatoshiStreetBets, the latter a copycat of the upstart amateur investors subreddit r/WallStreetBets. Similarly to how WallStreetBets members had tried to affect the value of Wall Street stocks, Dogecoin supporters tried and failed to force the coin's value up to $1.

In December 2020, Musk tweeted "one word: Doge," prompting its value to spike by 20 percent. And in 2019 a poll on the Dogecoin Twitter page jokingly trying to find a CEO saw Musk win. Last week, Musk tweeted an image of a mock Vogue cover titled "Dogue," which was interpreted as another nod to the coin.

On Sunday night, Musk said in an interview on the Clubhouse social media platform: "Occasionally I make jokes about dogecoin, but they are really just meant to be jokes."

Acknowledging the coin was created as a joke, he said: "Arguably the most entertaining outcome and the most ironic outcome would be dogecoin becomes the currency of earth in the future."