Summary List Placement
Elon Musk, the world’s second-richest man, also has the golden touch when it comes to Twitter.
A two-word tweet from Musk about Signal, the encrypted messaging app, boosted the stock of the unrelated company Signal Advance by nearly 7,000%. And since he put #bitcoin in his Twitter profile at 3:00 am ET on Friday, when the crpyptocurrency was at $33,000, it has topped $38,000.
His prolific tweeting has gotten him in trouble before. In the fall of 2018, he issued a statement on the platform suggesting that he taking Tesla private and that he had “funding secured,” and was slapped with a $20 million fine when no such event was in the works.
Musk later tweeted that the post was “worth” the fine, and his Twitter finger hasn’t been deterred since. Investors in everything from dogecoin to GameStop have reaped the benefits.
While correlation isn’t necessarily causation, Insider’s chart below looks at how four well-timed Musk tweets have coincided with rising values for the companies GameStop and Signal Advance, as well as the crytpocurrencies dogecoin and bitcoin.
One word: Doge
— Elon Musk (@elonmusk) December 20, 2020
Musk posted the above three-word tweet at 4:30 am ET on December 20. Dogecoin, a cryptocurrency that began as a joke on Reddit, surged by 17.95% the following day. He also tweeted an image of “Dogue” magazine on January 28.
Musk said in a January 31 interview on Clubhouse that his tweets about Dogecoin are “really just meant to be jokes.” But the market takes them seriously.
— Elon Musk (@elonmusk) January 7, 2021
After WhatsApp told users in early January that they would have to agree to let Facebook and its subsidiaries collect WhatsApp data, Musk promoted Signal, a competing encrypted messaging app, on Twitter.
Signal’s downloads spiked by 4,200% following the announcement and the tweet, but there was another beneficiary. Shares for Signal Advance, a tech penny stock, soared nearly 7,000% in the day following Musk’s tweet.
GameStop stock surged by more than 60% in after-hours trading on January 26, after Musk tweeted “Gamestonk!!” with a link to the “wallstreetbets” Reddit forum. In the next day’s trading session, the stock skyrocketed by 348%.
Musk has become a key figure in the Reddit short-squeeze drama, questioning Robinhood CEO Vlad Tenev on Clubhouse about why the platform had stopped users from buying GameStop and other viral stocks last week.
Musk added the #bitcoin hashtag to his Twitter profile early Friday morning, tweeting at 3:22 am ET, “In retrospect, it was inevitable.” Bitcoin price topped $37,700 by 8:00 am that day — a 17% boost in five hours — and ended at 4% within 24 hours.
That boost was short-lived, but Musk later repped Bitcoin again on Clubhouse, saying “Bitcoin is a good thing” on the evening of January 31. Bitcoin broke $38,000 the next day.