After being sued, Elon Musk says he will continue to support Dogecoin

Cryptocurrency Dogecoin jumped almost 10% on Sunday (19), after billionaire Elon Musk said he would continue to back the coin meme. Tesla and SpaceX CEO mogul’s job comes after he was processed by financial pyramid with Dogecoin.

The coin rose around 8.5% over a 24-hour period after Musk tweeted: “I will continue to support Dogecoin.”

In response to a user telling Musk to “keep buying dogecoin”, he has answered: “I am”.

Elon Musk sued

Musk is a name followed closely by cryptocurrency investors. While many appreciate his support, it’s worth mentioning that some don’t like the billionaire.

The tycoon is being sued for promoting Dogecoin. A class action lawsuit against the world’s richest man and his companies accuses him of promoting an alleged Dogecoin pyramid scheme.

The lawsuit seeks $258 billion from Musk and asks the court to consider the buying and selling of Dogecoin as gambling in the United States.

The plaintiff claims that Musk’s constant postings that he is a cryptocurrency fan directly led to his price hike, and when market conditions changed, investors suffered losses.

The meme cryptocurrency is down around 92% from its all-time high of $0.73, making it one of the worst performing altcoins.

The huge drop in the currency, however, did not shake Musk’s confidence in the project. Tesla, the world’s largest electric car maker, allowed customers to purchase goods with Dogecoin earlier this year.

Additionally, Musk confirmed that SpaceX would also add the same currency as a payment option for merchandise.

Musk therefore does not seem to be worried about the process, since he posted this Sunday that he will continue to promote the cryptocurrency.

Musk and Dogecoin

Musk has a long history of promoting Dogecoin and the lawsuit highlights Musk’s tweets about Doge since he first sparked his interest in the meme coin in 2019.

Developed in 2013 as a joke, dogecoin has become one of the most popular cryptocurrencies thanks to frequent recommendations from Musk. He has previously said that he believes the same currency has the potential to become a global currency.

Dogecoin’s value jumped around 27% after Musk revealed he had reached a deal to buy Twitter back in April.

Musk suggested integrating Dogecoin with Twitter and said he was working with the Dogecoin team to improve the coin’s efficiency.

dogecoin on the rise

Musk’s tweet sparked a real digital currency rally, which saw the post of the world’s richest man as a sign of renewed confidence in the cryptocurrency meme, amid many doubts on the future of many projects and companies.

Dogecoin’s price, which was around $0.05230 a minute before Musk’s tweet, hit $0.058037, up 8% within minutes, according to data firm CoinGecko.

The prices of other cryptocurrencies followed. Bitcoin saw a 4.4% increase in the past hour, shortly after Musk’s tweet. Ethereum, the second-largest cryptocurrency by market cap, rose 6.5%.

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