Dogecoin Soars Over 25% After Elon Musk Replaces Twitter’s Logo With Shiba Inu Image

Dogecoin Sees Immense Push As Elon Musk Mulls Utilizing DOGE To 'Defeat The Spam Bots' On Twitter

Dogecoin (DOGE), the largest meme cryptocurrency by market capitalization, soared over 25% Monday after Elon Musk replaced Twitter’s blue bird logo with a dog-themed image, sparking fresh enthusiasm in the DOGE community.

Following the changes, dogecoin’s price spiked to an eighteen-week high of $0.1045. Other metrics also witnessed a substantial uplift, with the coin’s daily volume surging over 613% in the past 24 hours to tap $5B, as seen on CoinMarketCap.

Likewise, Dogecoin’s market cap increased by 27% over the same period to tap $14B, surpassing MATIC and Cardano (ADA) to sit in seventh position. Additionally, the unforeseen price spike caught some short traders flatfooted, with over $27 million being liquidated in the past 24 hours, according to data from Coinglass.

Monday’s action by the self-proclaimed doge-father came as a surprise to many, but it was in fact foreshadowed by his earlier promise to replace Twitter’s logo with a Doge-inspired image, which he made to the chairman of WallStreetBets on Twitter last March before acquiring the platform. In fact, following the changes yesterday, Musk tweeted a screenshot of the conversation, writing, “as promised”.

Following the recent occurrence, there has been an observed surge in the on-chain activity of Dogecoin, with millions of dollars worth of DOGE being transferred between wallets in multiple transactions in the past 24 hours. On-chain analytics platform Lookonchain also highlighted the fifth largest DOGE holder, who transferred 650M DOGE ($61.3M) out after the price of DOGE increased.

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Musk’s Dogecoin Lawsuit 

Meanwhile, the timing of the decision to change Twitter’s logo to that of a dog could not have been more suspicious, especially considering the ongoing high-stakes lawsuit against Elon Musk, who stands accused of promoting dogecoin in a manner resembling a pyramid scheme.

Last week, Musk’s lawyers requested a Manhattan court to throw out a $258 billion racketeering lawsuit by some investors who accused him of running a pyramid scheme using Dogecoin, alongside accusations of wire fraud and gambling.

“The Complaint is a fanciful work of fiction that fails to state any actionable claim against Defendants Elon Musk and Tesla and must be dismissed in its entirety with prejudice,” Musk’s lawyers argued during a hearing on a motion to dismiss last Friday.

There is nothing unlawful about tweeting words of support for, or funny pictures about, a legitimate cryptocurrency that continues to hold a market cap of nearly $10 billion,” they added.

The lawyers also expressed confidence in Musk bagging a win, considering the outspoken billionaire has won similar cases before. At press time, DOGE was trading at $0.1012 after a 26% increase in the past 24 hours.