Elon Musk, known for his affinity for Dogecoin, appeared to signal a possible return for the video application Vine.
This suggestion caused a meme coin associated with Vine to experience a significant price increase.
Following indications that xAI, Elon Musk’s artificial intelligence company, had acquired the defunct Vine mobile application, Musk seemed to endorse its revival.
This perceived endorsement prompted a market reaction for Vine Coin (VINE), a token launched on Pump.fun by Vine’s co-founder, which jumped by 122% over three days.
Musk’s interest in Vine initially surfaced in January when he mentioned “looking into” bringing back the app, particularly amid concerns regarding a potential U.S. ban on TikTok.
Shortly thereafter, Rus Yusupov, Vine’s co-founder, introduced a Solana-based meme coin, implying the token could be connected to Vine’s possible relaunch.
This initially propelled the coin to a market capitalization near $498 million.
This surge proved temporary. Vine Coin subsequently declined by 89%, settling at a $55 million market cap.
Market Reacts to Potential Vine Revival by Elon
On Friday, Dane Jacobson, an employee at xAI, posted on X, stating that xAI now “owns” Vine.
He then engaged his followers to solicit ideas for the app’s future.
Musk replied to this post with “Feel free to take that on,” which many interpreted as Musk authorizing Vine’s comeback.
Yusupov subsequently reposted this exchange.
Following this interaction on Friday and into Saturday, Vine Coin rallied by 110%, reaching a $52 million market capitalization.
The token then corrected downwards by 41% to $30.55 million on Sunday.
It rebounded on Monday with another 80% increase, reaching $55 million. DEX Screener data indicates that overall, Vine Coin climbed 122% over these three days.
Polymarket users currently estimate a 24% probability of X relaunching Vine before July, a decrease from the 58% probability recorded at the end of January.
Concurrent with the launch of Vine Coin, Yusupov also launched a website under the same name that features a waitlist.
This action has fueled speculation that the once-popular Vine application may soon return and possibly incorporate the newly created token.
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