Elon Musk tweets and Twitter bot spam influences altcoin prices: Study

Crypto-spouting Twitter bots could be playing a much larger role in artificially inflating the price of altcoins than previously understood, a new study has suggested.

Using a sample of various FTX-listed cryptocurrencies in a

Musk’s May 13 tweet of a Pepe meme caused the token’s price to jump over 50% within 24 hours.

Explaining Constitutional Amendments pic.twitter.com/oYkMPBe9Zi

— Elon Musk (@elonmusk) May 13, 2023

Alongside Musk’s tweets, account creation surges took place a day prior to Pepe’s April 17 launch which suggested an orchestrated effort to use bots to amplify the token’s popularity.

*Chart showing a significant surge in bot accounts a day before Pepe’s launch. Source: NCRI*

The study’s researchers said this phenomenon could also affect stocks and other securities. They pointed to the social media frenzy in 2022 surrounding so-called “meme stocks” such as Gamestop and AMC.

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