Ripple and Dogecoin Caught in the Crossfire! SEC's New Chairman Examines Musk's Chaos: Bitcoin Manipulated by Tweets, Will Be Regulated Reasonably

The new chairman of the U.S. Securities and Exchange Commission (SEC), Gary Gensler, has been in office for over a month now. Surprisingly, since May, he has been active on the Twitter platform, and what is unexpected is that his mentions of the cryptocurrency sector seem to be much higher compared to the traditional financial markets.

Ripple and Dogecoin in the Spotlight

Gary Gensler stated on 5/8:

For all who ask me about amc, gme, xrp, dogecoin, doge, and safemoon, I will address them as quickly as possible. I am unlikely to comment on them on Twitter at this time, but I understand that relevant departments are working on setting individual processing schedules.

He even took notice of the significant fluctuations in Dogecoin the next day, directly posting a Dogecoin chart on Twitter and criticizing:

Look at this simple chart, would we think the public who bought this meme token called Dogecoin 24 hours ago are happy and protected investors?

https://twitter.com/GaryGensIer/status/1391350145053302786

Agreement with Musk's Energy Consumption Argument

Tesla paused Bitcoin payments due to environmental concerns over excessive energy consumption, causing Bitcoin to drop below the $50,000 mark. Gary Gensler retweeted the news and briefly stated:

We must work to stabilize the new market, transition to green energy solutions, and also regulate accordingly.

Bitcoin Manipulated by Tweets

Since the Bitcoin crash, Gensler revealed further insights earlier today, 5/18, stating:

Unstable positions and tweets can cause huge havoc in the market; we need to consider reasonable regulation for new asset classes. When Bitcoin prices are manipulated, the domino effect will be reflected in other cryptocurrencies such as Dogecoin, Ethereum, ADA, Litecoin, BNB, and more.

https://twitter.com/GaryGensIer/status/1394416541370888193

Many of Gensler's views on the crypto space have been compiled earlier. The good news is he believes Bitcoin is not a security but a scarce value storage asset with high volatility, capable of going to zero or skyrocketing, as it is its nature.

The bad news is he is quite certain that many cryptocurrencies do fall under the category of securities, and he continuously emphasizes the need for modern regulations in the same interview.

Therefore, we can expect new regulations for the cryptocurrency market, along with the lawsuit against Ripple for being an unregistered security, which may happen with other cryptocurrencies as well.

Interestingly, when Musk announced on 5/17 that Tesla will sell off Bitcoin in Q2, Gensler joined in the conversation. Many Bitcoin enthusiasts commented below the tweet, urging the SEC to sue Musk.