Does Musk benefit? Twitter logo change boosts Dogecoin 30% on Tuesday

The change in Twitter’s logo and Bitcoin’s gains favored Dogecoin this Tuesday, April 4, which rose as much as 10.3 cents higher.

Bitcoin trended toward the upper end of its recent range around $28k, while Dogecoin continued to benefit from Elon Musk’s flirtation with the meme token.

The largest cryptocurrency by market value rose as much as 3.1 percent to $28,442 this Tuesday, April 4, its first session high in three days. Bitcoin has traded around $28,000 since surpassing that level last month for the first time since June. Ether was up about 4.5 percent, while Polkadot was up 4 percent and Binance Coin was up 3.3 percent.

Dogecoin has jumped about 30 percent after Twitter users noticed on Monday that their home buttons changed to the meme of the dog that gives the cryptocurrency its name. Dogecoin rose as much as 10.3 cents.

Elon Musk posted a photo yesterday of an earlier exchange in which a Twitter user urged him to change the bird logo to that of a pug. For this reason, the tycoon tweeted, “As promised.”

“BTC had a good monthly and quarterly close on Sunday night, so it continued its macro trend already before Doge and now trades in a range as it forms support on the back of a more bullish sentiment overall in crypto and risk assets.” said Garry Krugljakow, founder of 0VIX, an open source DeFi protocol for lending and borrowing. “Doge has definitely led the narrative in the last 24 hours.”

Krugljakow added that, “It remains to be seen whether Musk is serious about using DOGE for payments or is just doing the usual.”

Meanwhile, Donald Trump-themed NFT sales volume continues to rise, with the former U.S. president set to appear in Manhattan this Tuesday.

Sales volume of Trump’s official collection rose 125 percent in the last 24 hours, to about $36,000, according to tracker NFT Price Floor. Sales volume is down 19 percent in the past 90 days, according to the site.

The minimum collection price, the lowest price someone can pay for an NFT, is $895, up about $71 from mid-December, but lower than in mid-February.

After falling in 2022, Bitcoin’s rally this year made it the best-performing asset in the first quarter, even as a growing U.S. regulatory crackdown and the collapse of some cryptoasset banks have dampened some investors’ enthusiasm. Ether, with a 56 percent year-to-date gain, has also shown an eye-catching performance.

“That BTC and ETH can deliver such returns with such strong headwinds is a testament that the tailwinds are even stronger,” wrote Noelle Acheson, author of the “Crypto Is Macro Now” newsletter.

Although cryptocurrency prices rebounded in early 2023, trading volumes and liquidity in the cryptocurrency market dried up when measured over the past year amid an overall price drop, which saw Bitcoin fall about 39 percent, to around 28 milñ, and some other coins even more.

Investors pulled back during that period as a series of scandals scared them away. Analysts are now particularly watchful of how smaller retail investors may behave, as they have been an integral part of the system, helping to drive up prices during the initial pandemic boom.

“The major cryptocurrencies have been range bound,” with Bitcoin hovering between $26,800 and $28,000, B2C2’s Adam Farthing wrote in a note. “The only other really notable feature is the decline in volumes, perhaps as to be expected in a range-bound market, but perhaps not a healthy sign, as it could be interpreted as an indication that there are no new buyers at current levels.”