It seems that the Dogefather has found a new type of animal that he is endorsing. Elon Musk just changed his profile picture on Twitter showing off a montage of the famous Bored Ape Yacht Club. This is not his first encounter with cryptocurrencies. Aside from being a strong supporter of Dogecoin and Tesla bought Bitcoin worth $1,5 billion last year.
Will Elon switch sides and Ape into NFTs and how did the market react to the latest stunt of the richest man in the world?
It’s just a montage
To be clear Musk isn’t showing any specific BAYC as a profile picture which means that we don’t certainly know if he owns any NFTs of that particular collection. Instead, he chose to pick a montage showing several BAYC NFTs.
The picture that Musk has chosen is quite popular and is used by many websites to illustrate the collection. That being said, we can only speculate what Elon has in mind. Over the last two years, he pumped several different coins and tokens for no obvious reason by mentioning them somehow on Twitter. Among them are Floki Inu, Baby Doge, and of course Dogecoin.
It remains to be seen if he has become a member of the BAYC or the metaverse “Otherside” that just had a successful minting event a couple of days ago.
ApeCoin pumps within minutes
The market reacted heavily after the tweet. Within minutes ApeCoin soared 22 % in price. After the Otherdeed sale of land plots, the price of APE plunged since the demand from investors who were interested in taking part in the NFT sale collapsed.
The floor price for BAYC NFTs remained relatively stable and the market was showing no spike in volume or price. This might also be the case because the BAYC is a high-value collection with a floor price of around 125 ETH which is worth $360.000 at the time of writing.
It seems that for the most part bots and retail investors have picked up on the idea that throwing money after APE could end well for them. While Musk managed to pump Dogecoin throughout the bull market in 2021, investors are well-advised to be careful with such price spikes. It’s nice when you catch them but as soon as Elon Musk stops tweeting about your investment you also might end up buying the local top.