Dogecoin ($DOGE) Whale Transactions Near 4-Month High After Twitter Accepts Musk’s Buyout Bid

Large transactions of the meme-inspired cryptocurrency Dogecoin ($DOGE) have surged to get close to a 4-month high shortly after the microblogging platform Twitter accept a buyout bid from the CEO of Tesla and SpaceX, Elon Musk.

According to data from IntoTheBlock shared on social media by crypto analyst Ali Martinez, DOGE transactions worth over $100,000 moved to a 4-month high earlier this week to reach 2,400 transactions, shortly after it was revealed Twitter accepted Musk’s buyout bid.

Martinez suggested that these large transactions could “act as a proxy for whales’ activity, suggesting how they may be positioning for a big price move.” IntoTheBlock’s explainer details that transactions over $100,000 are “not available to the average retail trader on-chain,” and as such can act as an indicator “to then umber of whales’ and institutional players’ transactions.”

In a statement, Bret Taylor, Twitter chair, revealed the firm accept Musk’s bid and said the board “conducted a thoughtful and comprehensive process to assess Elon’s proposal with a deliberate focus on value, certainty, and financing.” Per Taylor, the transaction “will deliver a substantial cash premium, and we believe it is the best path forward for Twitter’s stockholders.”

Musk is a well-known supporter of Dogecoin, who has collaborated with developers to improve the cryptocurrency. Along with DOGE’s co-creator, Musk has pushed for McDonald’s to accept payments in the meme-inspired cryptocurrency and has hinted SpaceX – a company he also owns – could soon accept payments in DOGE.

His electric car maker, Tesla, accepts DOGE payments on its website for specific products such as its “cyberwhistle,” its “Giga Texas” belt buckle” and its “cyberquad” four-wheeler for kids.. Musk has suggested Twitter could use DOGE as a means of payment.

Earlier this week, the CEO of Tesla dismissed the idea that a bridge between the Dogecoin and Ethereum networks is a necessity for the meme-inspired cryptocurrency’s utility to grow.

Responding to a set of suggestions made by DOGE co-creator Billy Markus on social media, which included getting more businesses to accept DOGE payments  and increasing the use of DOGE as a tipping currency, Musk said a bridge between Dogecoin and Ethereum “is not necessary.”

DISCLAIMER

The views and opinions expressed by the author, or any people mentioned in this article, are for informational purposes only, and they do not constitute financial, investment, or other advice. Investing in or trading cryptoassets comes with a risk of financial loss.

IMAGE CREDIT

Featured image via Unsplash