Elon Musk Endorses Crypto Amid Bitcoin and Dogecoin Price Surge 💥
Elon Musk, the Tesla CEO who recently declared a U.S. "financial emergency," has re-entered the crypto world as Bitcoin hits new highs. The price of Bitcoin has surged past $90,000, marking a 20% increase in just one week, with traders now eyeing a potential $100,000 target. This surge follows Donald Trump's U.S. presidential victory, while Musk's favorite cryptocurrency, Dogecoin, has also seen a major price boost, helping push the total crypto market cap back over $3 trillion for the first time since 2021.
Musk has publicly praised Dogecoin again, commenting on its "flat inflation," which means the currency’s inflation rate decreases over time. This, he believes, is a feature, not a flaw. His endorsement came after Dogecoin co-creator Billy Markus suggested removing the coin’s inflation, which Musk defended. Dogecoin’s price has returned to levels last seen during the 2021 crypto boom, which Musk helped fuel.
Musk's past comments on Bitcoin and Dogecoin contributed to a crypto bubble that later led to legal issues, with a judge dismissing a lawsuit earlier this year accusing Musk and Tesla of inflating Dogecoin’s price. Musk's companies, Tesla and SpaceX, both accept Dogecoin for certain transactions, and Musk has stated that he personally owns some of the cryptocurrency.
Recently, Musk was appointed by Trump to head the new Department of Government Efficiency, playfully nicknamed "Doge" after the meme behind Dogecoin. Musk has also expressed concerns about inflation and warned that the U.S. dollar may be headed for "destruction." In the lead-up to Trump’s victory, Musk campaigned hard for the president-elect and is now part of a group of pro-Bitcoin advisors supporting Trump.
Trump’s win has caused Bitcoin’s price to rise further, as traders speculate that his administration will ease crypto regulations and change leadership at regulatory agencies. Trump has also suggested creating a U.S. Bitcoin strategic reserve, predicting that Bitcoin could eventually surpass gold in value and be used to pay off the U.S.’s $35 trillion debt.