The cryptocurrency market continues to baffle. More specifically – everything that Elon Musk tweets about, regardless of whether it actually has any relation to cryptocurrencies – seems to have an impact.
- The case in point is a cryptocurrency called Starbase Token, carrying the STAR ticker.
- According to the project’s official website, it represents a “blockchain token-based crowdfunding/sourcing platform.” In essence, it’s a place where startups can raise funds by issuing tokens.
- Its native token, which was trading at around $0.002 at the beginning of May, reached a price of $0.30 today, according to DEXTools. The 24-hour volume, at the time of this writing, sits at $3.7 million.
- From today’s low to today’s high, the price increased by a total of 6,000% before retracing to its current levels.
- This entire pump was because of a photo data Elon Musk posted on Twitter.
— Elon Musk (@elonmusk) May 18, 2021
- For context, this has absolutely nothing to do with the Starbase token. Starbase is where the SpaceX launch facility is located – it’s in Boca Chica Village in Cameron County, Texas.
- Apparently, the team behind the cryptocurrency even went so far as to comment on the post, thanking Musk “for the photo.”
- In any case, the price of the token has retraced by more than 80% since today’s high, showing exactly how risky it can be to buy altcoins with questionable merit behind them.