After the Dogecoin price fell to a steep 10 percent on Thursday, guess who would come to the rescue?
Tesla CEO Elon Musk tweeted about the meme-based cryptocurrency edging out Bitcoin and Ethereum with a propsed protocol change, and the Dogecoin value sprung up once more, Fortune reported.
As of writing, Dogecoin is up 5.47 percent in the last 24 hours to $0.22 a coin, according to Coindesk.
Dogecoin Value: Elon Musk Warns BTC, ETH Pursuing Costly Multilayer Transaction System
In a response to a tweet of popular YouTuber and crypto investor Matt Wallace, Musk warned that Bitcoin and Ethereum are "pursuing a multilayer transaction system," which he said has a "base transaction rate (that) is slow and transaction cost is high."
BTC & ETH are pursuing a multilayer transaction system, but base layer transaction rate is slow & transaction cost is high.— Elon Musk (@elonmusk) July 9, 2021
There is merit imo to Doge maximizing base layer transaction rate & minimizing transaction cost with exchanges acting as the de facto secondary layer.
Dogecoin, Musk added, stands out better than Bitcoin and Ethereum in terms of transactions. He tweeted that there is "merit (in my opinion) to maximizing base transaction rate and minimizing transaction cost," as exchanges would serve as the "de facto secondary layer."
Dogecoin fell to 19 cents Thursday after Wallace, who has about a quarter of a million subscribers, expressed his support for the Tiger King cryptocurrency, $tking, which has skyrocketed 1,000 percent the past week, Forbes reported.
Wallace tweeted that he's "buying ($tking) up fast" because he felt like it would "go crazy when season two of Tiger King comes."
$tking was introduced in May by Joe Exotic, the viral ex-zoo keeper serving a 22-year jail sentence over wildlife violations and the murder attempt on Carol Baskin. Exotic has been the subject of the hit Netflix documentary "Tiger King."
The coin was traded on the decentralized Uniswap exchange, with a trading volume of $7 million--which is not significant enough to have a established market capitalization on such sites as CoinMarketCap or CoinGecko, per Forbes.
'Dogecoin, Future Cryptocurrency of the Earth'
Wallace then reiterated his support for Dogecoin after his earlier tweet about his interest in $tking, saying he would still hold "Dogecoin and Bitcoin despite the recent drops." He added that "Dogecoin is the future cryptocurrency of the Earth," echoing Musk's previous pronouncements.
He then tweeted that the update to Dogecoin is coming soon and it will "position Doge perfectly to become one of the most used currencies in the world." This tweet prompted Musk's Doge value soaring reply.
After soaring to about 74 cents in May, Dogecoin had lost most of its value in the succeeding months, hitting a low of $0.17 in June after China reaffirmed its ban on cryptocurrencies, Fortune said in its report. Musk's tweets and the staunch supporters of the coin have buoyed Dogecoin value since then.
In recent weeks, Dogecoin and the other top cryptocurrencies Bitcoin and Ethereum slid as China's central bank expressed its concerns over the global financial risks involving cryptocurrencies. In the Fortune report, US Senator Elizabeth Warren has sought information from Securities and Exchange Commission chairman Gary Gensler on possible SEC regulatory control over cryptocurrency exchanges.