elon musk net worth

Photo: AFP/Britta Pedersen

A look at Elon Musk’s immense influence: How his tweets move markets

Elon Musk is a known influencer. Let’s look at the facts.

elon musk net worth

Photo: AFP/Britta Pedersen

Elon Musk is a known influencer. All he had to do was tweet about “kinda liking Etsy” for the e-commerce platform’s stock to surge. And then the same happened with GameStop.

He also changed his Twitter profile bio last week to include only one word – the hashtag #bitcoin – which caused the cryptocurrency’s price to temporarily skyrocketed by more than 20%.

Elon Musk and GameStop

On 26 January 2021, his one-word tweet – “Gamestonk!” – received (at the time of publishing) more than 47 000 retweets and 250 000 likes, with thousands of people joining into the conversation.

That one tweet cheered on Redditors’ battle against Wall Street, causing GameStop stock to surge even higher. A few days after that, Musk said “shorting is a scam” which is only legal for “vestigial reasons”.

“U can’t sell houses u don’t own, u can’t sell cars u don’t own but u can sell stock u don’t own!? This is bs – shorting is a scam legal only for vestigial reasons”. [sic]

Interview with Robinhood co-founder

Musk has now made headlines again by appearing on Clubhouse – a social network accessible only by invitation. There he interviewed the head and co-founder of online broker app Robinhood about the GameStop saga.

As reported by AFP, Musk and Vlad Tenev discussed SpaceX’s ambitions for the colonisation of Mars, as well as cryptocurrencies and artificial intelligence. Musk also offered Tenev the opportunity to respond to his detractors.

“Spill the beans, man. What happened last week? Why can’t people buy the GameStop shares [on the Robinhood app]? People demand an answer and want to know the details and the truth.”

Musk’s Tesla versus major hedge funds

Musk had a similar effect on the stock market back in 2020 when major hedge funds claimed Tesla was massively overvalued. Short sellers were waiting for Tesla stock to plummet to profit off it.

Musk, however, struck back by, yes you guessed it, tweeting about it. Well, he also released a pair of “short shorts” to mock the short-sellers, who ended up losing more than $40 billion while Musk’s wealth tripled. He smugly tweeted:

“Tesla will make fabulous short shorts in radiant red satin with gold trim. […] Will send some to the Shortseller Enrichment Commission to comfort them through these difficult times”.

Musk will be ‘off Twitter’ for a while

Regardless of how you feel about the man, Musk clearly knows what he is doing and just exactly how far he influence reaches. Spoiler alert: further than just his 45 million Twitter followers.

Back in January, Musk, became the richest man in the world thanks to a Tesla stock market boom. He is seen by many as a visionary and it’s evident from his actions the past few weeks that a single word can sway investors.

That said, Musk’s online presence has caused him some drama in the past as well. He butted heads with the US Securities and Exchange Commission, which accused him in 2018 of misleading Tesla investors with a single tweet.

​Musk announced on Tuesday 2 February that he would be “off Twitter for a while”. And while he hasn’t provided a reason for his temporary departure from the social media platform, he could be concerned about potential legal issues.

Now read – GameStop stock saga explained: The long and ‘short’ of how Reddit users annihilated Wall Street pros