New Tweet From Elon Musk Sends Dogecoin (DOGE) 30% Higher

May 14, 2021 6:19 AM EDT

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In another wild trading session, Dogecoin (DOGE) gained over 30% overnight after Tesla CEO Elon Musk tweeted about the meme cryptocurrency again.

"Working with Doge devs to improve system transaction efficiency. Potentially promising," Musk said on Twitter.

DOGE price went from $0.42 to $0.57 in the matter of a few hours to print the highest levels since May 10.

Musk seems to have a long-standing interest in Dogecoin as supported the meme coin on multiple occasions in the past.

A week ago, the coin fell sharply lower after Tesla boss referred to it as a “hustle” on Saturday Night Live. He then moved to remove Bitcoin from payments options for purchasing a Tesla car, citing environmental concerns.

According to TRG, Dogecoin consumes 0.12 kilowatt hours of electricity per transaction compared with 707 for Citcoin, according to data center provider TRG.

"Dogecoin remains a lesson in greater fool theory. It’s being pumped by people that want to get rich quick (and Elon Musk),” said David Kimberley, an analyst at investing app Freetrade.

On the other hand, Tesla's boss may get in trouble soon as his tweets continue to move the crypto market tremendously.

"Tesla is drawing tremendous scrutiny for Musk's cheerleading of Bitcoin. If Tesla unveils a bet on dogecoin, regulators may have their eyes on Musk,” said Edward Moya, an analyst at brokerage OANDA.

Dogecoin price retreated slightly from the daily highs to settle around the $0.53 mark.

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