Fading power? Weak DOGE spike after Elon Musk makes McDonald’s offer

Elon Musk, the Tesla CEO and billionaire, offered to eat a McDonald’s kids meal live from McDonald’s if Dogecoin (DOGE), was added as an official payment method.

Musk tweeted that he would eat a Happy Meal on television if McDonald’s accepted Dogecoin. The price of DOGE jumped by 7% within minutes of Musk’s tweet. It rose from $0.135 and $0.145, where it is at the time of writing.

Previous tweets by Musk have shown markets moving much more significantly, with a recent announcement that DOGE would be used for Tesla merchandise payments leading to a 25% increase in DOGE. Although the current downturn could be a factor, the small spike indicates that Musk’s ability to move markets is beginning wane.

If @McDonalds allows Dogecoin, I’ll eat a happy dinner on TV
Elon Musk (@elonmusk), January 25, 2022

McDonald’s replied ten hours later with “Only If Tesla Accepts Grimacecoin”, referring to a fake currency depicting a fuzzy purple McDonald’s mascot, called “Grimace” in the 1980s. The response was quick from crypto opportunists, as Grimace Coin (Grimace), had already been minted on Binance Smart Blockchain. (Disclaimer, buying a memcoin that was created within the last hour is not generally considered a smart financial move.

Mainstream media outlets were quick to report Musk’s online behavior. The Wall Street Journal, The Independent, and The Independent have also highlighted Musk’s crypto tweets.

The billionaire has joined the McDonald’s crypto memes trending on Twitter. In times of crisis, the fast food giant is intrinsically tied to crypto markets. Investors and influencers post memes about how they need to find jobs at McDonald’s after significant losses in crypto markets.

Salvadoran President Nayib Bukele, whose government bought the BTC dip and snapped up an additional 410 Bitcoin at $36,000 each – joined the trend Jan. 23rd by uploading a badly edited photo of himself wearing a McDonald’s-branded nametag and hat.

#NewProfilePic pic.twitter.com/YVDlBoA2Cq
— Nayib Buukele (@nayibbukele), January 22, 2022

Despite crypto memes appearing lighthearted, Musk has used his 71.5 million followers on Twitter to cause chaos in crypto markets. Musk’s announcement that Dogecoin could officially be used to pay for Tesla merch earlier this month caused wild swings in its prices and his announcement that Bitcoin would be suspended from Tesla payments in the middle of 2021 caused markets tank.

Musk’s Twitter behavior was criticized for its erratic nature. Changpeng Zhao (CZ), Binance CEO, stated that “Tweets which hurt other people’s financial well-being are not funny and irresponsible.”

Tesla is known for having more than 42,000 Bitcoin, with an average price of $31,700 per coin. Musk, however, seems more comfortable using Dogecoin. He recently declared this to Time Magazine.

Bitcoin is not a substitute for transactional currencies. Dogecoin, even though it was a joke, is more suited to transactions.

Musk went further and said that Bitcoin’s transaction cost per transaction was high, but its transaction volume is lower than DOGE. Musk stated that Bitcoin is better as a store of value asset and that DOGE is better for transactions and spending.

Related: McDonald’s Jumps on the Bitcoin Memewagon. Crypto Twitter Responds

https://cointelegraph.com/news/fading-power-weak-doge-spike-after-elon-musk-makes-mcdonald-s-offer

Lillian Call

I am a technology and gaming writer by profession. I love NFT's and play to earn gaming such as Axie Infinity. I love writing about anything on the blockchain, especially gaming and entertainment. I often sing, write or draw to portray my feelings. When it comes to my free time or you can say ‘ME-TIME’, I love to play with my cat, sleep an extra hour, or play my favorite video games.