Elon Musk set off a drastic rally in the BTC price earlier today after changing his Twitter bio to include the digital asset. The Tesla Inc. founder simply added the caption #bitcoin with no further explanation, but the move was enough to send bitcoin higher past $38K.
The spike higher was likely fuelled by speculation that the world’s richest man could be planning to invest in the coin. The billionaire’s update was enough to help bulls catalyze a move above the $31,000 and $33,000 range, where bitcoin has spent much of the week.
At the time of writing, BTC is up over 20% at its price of $38, 015. This climb higher marks the largest intraday move in almost a year.
According to Antoni Trenchev, co-founder of leading cryptocurrency lender Nexo, the huge melt-up in BTC markets can be attributed to Musk’s tweet.
“Musk’s support for Bitcoin creates a safe zone for some of the smaller companies and possibly everyone in the S&P 500 to allocate into Bitcoin,” he commented.
Bitcoin’s remarkable ascendance is also attributable to popular Reddit forum SatoshiStreetBets, whose members have been rallying against Wall Street’s practices in the financial markets.
Tesla CEO Backs Reddit Forum in Pumping DOGE
The Tesla CEO was involved in yet another Twitter banter to support crypto, this time promoting popular digital coin DOGE.
The price of Dogecoin, which started as a viral dog meme, has been skyrocketing over the past few days after hyped-up Reddit users decided to pump up the asset.
Elon Musk decided to join in on the action today by tweeting an image of a “Dogue” magazine cover, a play on the fashion publication “Vogue.” The tweet sparked a parabolic rally that saw Dogecoin gain as much as 300% in the span of hours.
Musk’s support for DOGE excited Reddit users who had earlier declared they would send the coin to the moon via a coordinated buy-in. One Reddit user even called for the forum to persuade Elon Musk to shill for them.
One Dogecoin is currently worth $0.05200 as per data from cryptocurrency tracker CoinMarketCap. As seen in the chart below, the DOGEUSD pair has hit record levels over the past few sessions. The meme coin’s remarkable run even saw it add as much as 613% to its value at some point.
Dogecoin Address Requests Explode
Crypto exchanges are struggling to meet the increasing requests for new DOGE addresses following its jump to record highs.
Binance CEO Changpeng Zhao was forced to momentarily suspend all withdrawals on his exchange earlier today to address the mounting increase in DOGE address requests. Similarly, Coinbase faced deposit and withdrawal issues, likely caused by the exchange’s failure to generate new addresses fast enough.