I hear what you're saying, but I don't think this is remotely the right way to go about it.
It would be like Google changing the Google name to Alphabet, or to "A.com" or something. Imagine throwing away "to Google something" in an effort to popularize a big, story-less, meaningless name.
Yeah if it was like "Twitter - an X.com app" then maybe, or maybe building out the brand of X and merging the two if X takes off. This switch seems a bit sudden and misguided. I was certain he was doing some weird Elon joke but he seems to have gone through with it.
I feel like in the past others were able to keep Musk in check when he was having a manic phase. Nowadays, he has enough power that I suspect anybody who wants to stay in his good graces doesn't dare to contradict him.
It would be like Google changing the Google name to Alphabet, or to "A.com" or something. Imagine throwing away "to Google something" in an effort to popularize a big, story-less, meaningless name.