Cult DAO token surges 80% within the past 24 hours following Elon Musk's latest tweet, showing his big impact on the digital currency ecosystem.
Once again, Elon Musk’s impact on the digital currency ecosystem is apparent as the Cult DAO token community responded positively to his latest tweet. The billionaire investor, also known as “The DOGE Father,” recently posted the words “Cult / Culture,” as seen below.
Following the tweet, the native token of CULT DAO, known as CULT, experienced a sudden surge of around 80% within the past 24 hours, causing its price to rise to $0.000008797. Although Cult DAO is not explicitly categorized as a memecoin, its volatile behavior is similar to that of one.
The Resurgence of Meme Coins
Taking a cue from other successful meme coins such as Dogecoin (DOGE) and Shiba Inu (SHIB), the Cult DAO community utilized Elon Musk’s tweet to give their token a boost in value. While Musk’s tweets have been known to positively impact the prices of both DOGE and SHIB, there is no apparent relationship between the Tesla CEO and the Cult DAO team.
This suggests that the current surge may not be sustainable and could potentially negatively affect the asset’s performance in the long run. Currently, CULT is experiencing its highest trading price in the past 30 days after a sudden price increase.
Meme coins are increasingly dominating the altcoin market and driving momentum. At present, many consider it to be the “meme coin season,” with PEPE emerging as the clear leader. Apart from experiencing significant price growth that propelled it to the top 100 list of cryptocurrencies by market cap, the rapid adoption of PEPE has also led to it surpassing Shiba Inu’s trading volume.
Introduced earlier this year, Pepe has experienced rapid growth largely due to its association with the internet meme icon Pepe the Frog. Although originally intended to be neutral and inoffensive, the meme has been adopted by various far-right organizations and individuals.
Like other meme-inspired cryptocurrencies such as Dogecoin and Shiba Inu, Pepe’s purpose is not well-defined and it mainly serves as a speculative asset. In addition, as more investors flock towards meme coins, calls for caution are increasing. Some meme coins, such as BONK, have been known to generate unsustainable hype in their short history.