The world’s richest man is now the owner (and CEO) of one of the largest social media platforms. Tesla Inc TSLA and SpaceX CEO Elon Musk completed an acquisition of Twitter on Friday Oct. 28, 2022.
The acquisition is significantly impacting one of the most well-known cryptocurrencies.
What Happened: Meme coin Dogecoin DOGE/USD has a history with Elon Musk that dates back several years. On April 2, 2019, Musk made his first reference to Dogecoin, replying to a tweet saying “Dogecoin might be my fav cryptocurrency. It’s pretty cool.”
Musk posted a meme of Dogecoin passing the global financial system saying, “It’s inevitable” on July 17, 2020.
Over the years, Musk has posted many memes and publicly supported Dogecoin. In 2021, Musk even referenced Dogecoin while hosting an episode of “Saturday Night Live.”
Dogecoin enjoyed record highs in 2021, hitting $0.7475 in May 2021, right around Musk’s appearance on “Saturday Night Live.”
While the price of Dogecoin has dropped, Musk has continued to support and hold DOGE. The meme coin is linked to companies Musk runs, with Dogecoin accepted as a payment option for Tesla merchandise and rides on The Boring Company.
“I’m mainly supporting Doge. Doge has the memes and dogs and has a sense of humor and doesn’t take itself too seriously,” Musk said earlier this year.
In April, Musk disclosed a large stake in Twitter. The Tesla CEO would later announced on April 14, 2022 that he planned on acquiring Twitter for $44 billion.
The acquisition announcement sent the price of Dogecoin higher, with many investors and crypto holders believing that Musk will integrate the meme crypto into the social media platform.
Musk later announced he was walking away from the acquisition, which led to a lawsuit by Twitter and a lengthy battle.
On Oct. 4, 2022, Musk announced his intent to acquire Twitter once again at the original $44-billion offer price.
Investing $1,000 in Dogecoin: The price of Dogecoin has risen significantly since the Twitter deal was completed, with the meme coin up over 100% in the last week.
Investors who bought Dogecoin back in April when Musk first announced the deal would be back to around even after the crypto dipped for several months after the deal was announced.
Investors who bought Dogecoin after Musk announced plans to acquire Twitter in October at the originally agreed upon price did much better.
Dogecoin hit a high of $0.066252 on Oct. 4, 2022. A $1,000 investment in Dogecoin at its daily high could have purchased 15,093.88 DOGE.
The $1,000 investment would be worth $2,120.69 today based on a price of $0.1405 for DOGE at the time of writing.
Investors who bought Dogecoin after Musk announced his intent to complete the $44-billion acquisition in October would be up 112.1% in less than one month.
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