Why has Dogecoin just soared in value?

At around 12:30 pm EST (5:30 pm UTC) on Monday, the meme cryptocurrency coin, Dogecoin, suddenly spiked in value.

Jumping from 0.0866 to 0.0918, Dogecoin got a random boost of love from people and it is seemingly courtesy of Elon Musk.

Musk, who is an avid supporter of Dogecoin, announced he wants to add payment methods on Twitter and is prioritizing fiat currencies, according to Financial Times.

According to Financial Times, Musk wants fiat currencies to be “first and foremost” in the endeavor but crypto functionality can be implemented later on.

Sign up for our free Indy100 weekly newsletter

Since Musk has a history of using Dogecoin, some believe he would allow the meme coin to be a part of Twitter payments, thus making it more valuable.

This explains the random spike in value on Monday.

Dogecoin and Musk go way back.

Musk first tweeted about the meme coin in 2020.

But in 2021, the Tesla CEO and SpaceX founder announced Dogecoin would be funding a SpaceX rideshare mission to the moon. Later that year he also announced the crypto coin could be used to purchase Tesla vehicles.

The two's close relationship has led to accusations that Musk is market manipulating the value of Dogecoin through his social media.

In the past, when Musk tweeted about Dogecoin it inflated the price of the coin.

A similar rise occurred in October 2022 after it was announced that Musk would acquire Twitter. Dogecoin jumped from 0.0595 to 0.1409 over the course of five days.

Have your say in our news democracy. Click the upvote icon at the top of the page to help raise this article through the indy100 rankings.