Musk tweeted again to promote Dogecoin, and the price soared 10% in one day

Billionaire Musk tweeted about Dogecoin again today, and said he will host the "Saturday Night Live" SNL show on May 8. Subsequently, Dogecoin rose in the short term, and the increase expanded to nearly 10%.

In 2021, the value of Dogecoin has soared by nearly 8,000%, thanks in large part to celebrities like Musk, who can be said to be the best "seller" for Dogecoin. In many cases, several sudden surges in Dogecoin were related to his tweets.

On April 1, Musk used his large number of followers on social media to drive up the price of Dogecoin, and replied on Twitter that he would use his own SpaceX rocket to send Dogecoin "to the moon."

Entertainment industry promotion aside, Wednesday’s Dogecoin tweet appears to be one of Musk’s more effective prank moments.

Dogecoin followers have publicly set a target price of $1 for 2021, which may seem insignificant at first glance, but on the last day of 2020, Dogecoin was trading at just $0.005.

For these fans, promotional tweets like Musk's are equivalent to fundamentally bullish market signals.

On the r/CryptoMoonShots subreddit, one user posted: “Y’all know what happens when Elon Musk tweets. We all make money.”

Musk, who has called Dogecoin his favorite cryptocurrency and the "people's cryptocurrency," is also a supporter of Bitcoin, and his electric car company Tesla has amassed nearly $2.5 billion worth of the cryptocurrency.

However, Dogecoin's soaring price has also raised concerns about a potential bubble in the cryptocurrency market.

At a press conference on Wednesday, Federal Reserve Chairman Powell said Dogecoin and GameStop reflect market bubbles.