Explained: Why cryptocurrency jumps and falls on Elon Musk's tweets

The value of a crypto depends solely on the equation between supply and demand, and demand is driven solely by sentiment

What does Elon Musk do for entertainment in between building spaceships and hyperloop systems and running an autonomous electric vehicle business? He fools around with cryptocurrencies. 

Every time the charismatic billionaire has made a statement about crypto, he’s sparked off financial turmoil. This is partly because he controls two industrial powerhouses, which can choose to accept cryptocurrency transactions. It is also due to his social media influence and the exaggerated impact of opinion on cryptocurrency values.

First, look at the actions Musk’s taken that directly affect crypto. Tesla has bought $1.5 billion worth of bitcoin and it was also accepting