A study done by ReputationUP has examined the online reputation of Elon Musk, billionaire and business magnate of the car industry and artificial intelligence.
We show through the following analysis how predictions and comments on cryptocurrencies and the companies involved, such as Coinbase, have affected the online sentiment.
Who is Elon Musk?
Elon Musk is the co-founder and CEO of Tesla, SpaceX, Neuralink, and The Boring Company.
Musk has revolutionized conceiving electric cars, space tourism, solar energy, and artificial intelligence.
He is undoubtedly considered a business influencer. His participation in the crypto market has convinced many investors and followers of digital currencies to believe in his predictions.
Tesla’s investment in Bitcoin led to a surge in cryptos.
Elon Musk’s companies
He co-founded his first company, Zip2, with his brother. With the proceeds from the sale, he founded Paypal, which was bought by eBay three years later, valued at $1.5 billion.
Then, Elon Musk created two other companies, Tesla, SpaceX, and Solar City.
In 2017, Tesla became the most valuable company in the United States. All after nearly toppling into bankruptcy in 2008.
SpaceX, which provides aerospace technology and transportation, is helping the entrepreneur to make his dream of colonizing Mars come true.
Thus, he proclaims himself as ‘Emperor of Mars’, on his Twitter account.
While Elon Musk is focusing on his goal, SpaceX is among the world’s top 10 most valuable companies.
And in the end, he founded The Boring Company, a tunnel construction, and infrastructure company. It was born out of Musk’s idea of traveling underground by a high-speed electric car.
Elon Musk and his influence on Bitcoin
Elon Musk’s influence on Bitcoin has had an impact on the price volatility of this crypto.
His latest announcement led to a sudden drop in the major digital currency value.
The billionaire has posted a new Tweet to announce that Tesla would not accept Bitcoin as payment.
Musk justified his decision because of the crypto’s environmental impact:
‘We are concerned about rapidly increasing use of fossil fuels for Bitcoin mining and transactions, especially coal, which has the worst emissions of any fuel.’
Bitcoin price dropped 12% in just twelve hours after the statement release.
The company reveived criticism since the issue of mining pollution contradicts the logic of producing electric vehicles.
Thus, two months after the announcement, Tesla backtracked on accepting the payment method.
The company had invested $ 1.5 billion in Bitcoin the previous month, and its value had increased by 12%. That day, the crypto hit its all-time high price of $ 42,000.
Bitcoin rose to 20% in value after Musk updated his Twitter bio by adding the hashtag #bitcoin.
Elon Musk: the Dogefather
Dogecoin or Doge started as a joke in 2013 to make fun of cryptocurrencies
The story began with the picture of the Doge, an internet meme that became viral.
Elon Musk’s comments about Dogecoin have caused the crypto to change direction, with ups and downs of its price.
He called it a ‘hustle’ on the Saturday Night Live show.
Dogecoin plunged, and its price lost 70 to 40 cents, and followers continue to sell the cryptocurrency.
A few days later, Elon Musk announced that SpaceX would launch a Cubesat to the moon for the Geometric Energy Corporation. .
The tech company added in a press release that it would pay for this project in Dogecoin,
“DOGE has proven to be a fast, reliable and cryptographically secure digital currency that operates when traditional banks cannot and is sophisticated enough to finance a commercial Moon mission in full”.
As stated in the document A History of Dogecoin, written by the Critical Blockchain Research Initiative:
“Many members of the Dogecoin community, as well as members of other cryptocurrency communities, use the phrase ‘To the moon’ to describe the overall sentiment of the coin’s rising value”.
A few days ago, Elon Musk ran an engaging Twitter poll.
He asked his followers if Tesla should accept Dogecoin. 78.2% of participants have recorded Yes, against 21.8% for a No response.
The post received more than 2.5 million views in just four hours.
Dogecoin prices are rising again thanks to this new survey, while Bitcoin and Ethereum are going down.
The value of the cryptocurrency fell by about 10%, the day after Elon Musk’s announcement.
Elon Musk: the analysis
The analysis focused on May 13 data to check the online reputation of Elon Musk.
The day after Tesla’s announcement to stop accepting Bitcoin as payment.
The analysis parameters are the following ones:
- Positive and negative themes;
The performance trend refers to interactions over a given period. We have considered the following concepts:
On May 13, Elon Musk appeared in 122,000 search results. An increase of 320% compared to the previous day highlights the online strength of this profile.
The sentiment measures the percentage of positive or negative sentiment generated by users on social networks.
The ReputationUP Study Center also calculated the net sentiment of Elon Musk on the Internet.
That is the net percentage measured on a scale between -100 to 100. Such data appear on the following graphs.
Elon Musk has a positive sentiment of 9,5%, while the negative sentiment is 29,5%.
It generates a negative net sentiment: -51,4%.
These figures show how Elon Musk’s new claims about Bitcoin harm his sentiment and financial reputation.
In this case, the Reputation Score tool helps determine the reputation value and the risk index on a scale from -100% to + 100%.
The ReputationUP Study Center has examined the total of positive and negative hashtags.
For instance, one of the most negative is about the controversy between Tesla and Bitcoin: dontbuytesla.
Most of Elon Musk’s hashtags refer to cryptocurrencies:
- Bitcoin, BTC;
- Dogecoin, Doge;
- cryptocurrencies, newtoken, blockchain, etc.
The software of ReputationUP Study Center, called RepUP Monitoring Tool, has measured the emotions that Elon Musk arouses in users. They appear as follows:
- Anger: 61,2%;
- Sadness: 14,2%;
- Joy: 13,6%;
- Fear: 10,4%.
The predominant online emotion that refers to Elon Musk is anger.
The data indicate that effective online reputation management – both personal and corporate – is necessary to reverse this negative trend.
The Study Center of ReputationUP, a leader in online reputation management, has analyzed the online reputation of Elon Musk after he decided to stop accepting Bitcoin for Tesla vehicle purchases.
We may draw the following conclusions from this analysis:
- The new tweet about Tesla’s Bitcoin turnaround hurt Elon Musk’s reputation;
- The search results on May 13 are 122.000. 320% more than the previous day;
- The negative sentiment towards him is 29,5%; while the positive sentiment is 9,5%;
- Net sentiment score is also negative: -51,4%;
- Elon Musk undoubtedly has a great influence on the price of cryptocurrencies.