The Elon Effect: Elon Musk’s twitter activity that boosted (or crashed) the prices of stocks and crypto

The Tesla and SpaceX CEO's influential Twitter activity has shifted the value of several companies and cryptocurrencies by over $10 billion on average.

Tesla boss Elon Musk has gained a reputation for his seemingly God-like ability to control the stock market from his Twitter account. Based on an analysis of seven times he’s flexed his power on Twitter, we’ve calculated just how much Elon Musk’s social media presence has dramatically affected the value of different companies, and Dogecoin, over the past year.


  • Elon Musk’s Twitter activity has shifted the share and asset price of seven companies/cryptocurrencies by 99% on average by the close of the respective market each day.
  • On average, Elon Musk’s Twitter activity has changed these companies’ value (market capitalisation) by $10.25 billion by the close of the respective market each day.
  • Bitcoin saw a $50 billion surge in value on the day Elon Musk added “#bitcoin” to his Twitter bio.
  • When the Tesla CEO Tweeted saying that Tesla’s share price was “too high”, the share price dropped by over 10%.
  • Elon Musk’s endorsement of Signal saw the wrong company’s (Signal Advance) share price soar by 6,350% over a few days.
Investment Time/Date Close price the day before Close price the day of the Tweet % change Market cap the day before Market cap the day of the Tweet Amount change
Dogecoin 7:57 AM · Feb 4, 2021, 8:15 AM · Feb 4, 2021, 8:27 AM · Feb 4, 2021 $0.037 $0.053 43.67% $4.76 billion $6.83 billion $2.07 billion
Signal Advance 12:56pm · 7 Jan 2021 $0.60 $3.76 526.67% $0.01 billion $0.04 billion $0.03 billion
Bitcoin 3:22am EST · 29 Jan 2021 $31,649.61 $34,316.39 8.43% $589.08 billion $638.77 billion $49.69 billion
Etsy 11:25am · 26 Jan 2021 $208.81 $204.41 -2.11% $26.33 billion $25.77 billion -$0.56 billion
CD Projekt (Cyberpunk) 2:34am · 28 Jan 2021, 11:54am · 28 Jan 2021, 11:29pm · 28 Jan 2021 $20.90 $23.19 10.96% $8.37 billion $9.29 billion $0.92 billion
Tesla 4:11pm · 1 May 2020 $156.38 $140.26 -10.31% $145.43 billion $130.45 billion -$14.98 billion
GameStop 9:08pm · 26 Jan 2021 $76.79 $147.98 92.71% $5.01 billion $9.65 billion $4.64 billion

This article offers general information about investing and the stock market, but should not be construed as personal investment advice. The information has been provided without consideration of your personal circumstances or objectives. It should not be interpreted as an inducement, invitation or recommendation relating to any of the products listed or referred to. The value of investments can fall as well as rise and you may get back less than what you invested. Past performance is no guarantee of future results. If you’re not sure which investments are right for you, please get financial advice.

The Elon Effect: Asset and share price changes

Elon Musk has become one of the most influential people in the market, with single Tweets resulting in significant changes in asset and share prices. We analysed the prices of seven companies/cryptocurrencies that Elon Musk has Tweeted about, looking at their close prices against the dollar the day before the Tweet and their close prices the day of the Tweet.

Elon Musk Tweets directed at Tesla, Signal, Bitcoin and many others have resulted in an average asset or share price change of 99%.

The Elon Effect: Market capitalisation changes

We also looked are how Elon Musk’s Tweets influenced these companies’ overall market capitalisation. Market capitalisation refers to how much a company is worth as determined by the stock market.

By the end of the days that Elon Musk Tweeted, these companies’ market capitalisation shifted by $11.62 billion on average.


On 4th February 2021, Elon Musk came back to Twitter with a bang. He put out a series of tweets advocating Dogecoin as “the people’s crypto”.

Following the tweets, investors were quick to start buying Dogecoin, with the price shooting up by 44% against the dollar by the end of the day he tweeted. Overall, this series of tweets boosted the overall market capitalisation (value) of Dogecoin by $2.1 billion up to $6.83 billion by the close of the day he tweeted.

Since Elon has done a variety of tweets about Dogecoin and as of 07/02/2021, its market value has shot up further to $10.11 billion.


On 29 January 2021, Elon Musk changed his Twitter bio to “#bitcoin”. For many, this was seen as Elon championing Bitcoin, causing a tsunami of interest in the cryptocurrency.

As a result, Bitcoin saw a significant boost in the stock market. By the end of the day, Bitcoin’s market capitalisation was up an incredible $50 billion. This is the largest change in market capitalisation caused by his influential Twitter activity.

Overall, the price of Bitcoin was up 8.43% on the day that Elon Musk changed his Twitter bio to “#bitcoin”.

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Disclaimer: Cryptocurrencies are speculative, complex and involve significant risks – they are highly volatile and sensitive to secondary activity. Performance is unpredictable and past performance is no guarantee of future performance. Consider your own circumstances, and obtain your own advice, before relying on this information. You should also verify the nature of any product or service (including its legal status and relevant regulatory requirements) and consult the relevant Regulators' websites before making any decision. Finder, or the author, may have holdings in the cryptocurrencies discussed.

Signal Advance

The power of the Elon Effect is so strong that his Twitter activity can send some companies share prices soaring. Even the share price of the wrong company.

On 7 January 2021, Elon Musk Tweeted “Use Signal”. He was likely referring to the encrypted messaging app, which is not a publicly-traded company.

Investors and fans of the billionaire quickly bought shares of Signal Advance instead, a technology component manufacturing company headquartered in Rosharon, Texas, which trades under the ticker SIGL.

By the end of the day, Signal Advance’s share price was up from $0.60 to $3.76 – an increase of 527%. As a result, the value of Signal Advance went from $6 million to $39 million within a single day.

Despite the misunderstanding, this momentum continued beyond the first day. On 11 January 2021, Signal Advance’s share price closed at a high of $38.70, an increase of 6,350% since Elon’s Tweet. This meant that the value of Signal Advance shot up to $405 million.

Since then, Signal Advance has dropped back down to Earth, with the share price currently trading at around $5 (as of 29 January 2021). Nevertheless, this is still almost nine times higher than it was before Elon’s Tweet. Not bad for a company that he wasn’t even referring to!


Across 2020, Tesla saw a huge surge in market interest. However, in May 2020, Tesla CEO Elon Musk controversially Tweeted that the Tesla stock price was “too high” in his opinion.

This Tweet from Elon Musk resulted in $14.98 billion being wiped from Tesla’s value (market cap). By the end of the day, Tesla’s share price was down by over 10%.

Eventually, Tesla’s share price did bounce back and continued to grow throughout the year.


As a tug of war between Wall Street and retail investors heated up, GameStop was at the centre of the battle of the “Reddit stocks”. Elon Musk added fuel to the fire with his Tweet “Gamestonk!!”, with a link to the Reddit forum where much of the discussion was unfolding. This was seen by many as an endorsement from Elon Musk, which added even further interest to the battle.

On the day that Elon Musk Tweeted about GameStop (GME), its share price rocketed by 93%, taking the overall value (market cap) of GameStop to almost $10 billion, from just over $5 billion the day before.

CD Projekt (Cyberpunk)

CD Projekt S.A. is the Polish video game developer that’s behind the game Cyberpunk. On 28 January 2021, Elon Musk sent out a series of Tweets about the game, saying that it will be available to play in Tesla models.

This immediately sparked interest in CD Projekt. Its share price shot up by 11% on the day of the Tweets, and its overall value (market cap) increased by just under $1 billion.


On 26 January, Elon Musk shared his love for the ecommerce website Etsy, which has a focus on handmade and vintage items and craft supplies. The Tweet resulted in a quick spike in the share price of Etsy.

However, this time, the Elon Effect did not last for very long. In fact, Etsy ended up closing at 2% below what it was the day before Elon Tweeted. This means that almost $600 million was actually wiped off Etsy’s value (market cap) on the day that Elon Musk showed it love, proving that longer-term rises aren’t guaranteed.

How are these companies performing now?

While Elon Musk does seem to send shockwaves through the stock market with his Tweets, the effects are often very short, with prices eventually returning to normal.

See how the investments that Elon has Tweeted about are doing now:

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