Dogecoin Stays Stagnant Despite Elon Musk’s Latest Comments

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Dogecoin

Dogecoin’s godfather, Elon Musk, recently tweeted about accepting Dogecoin payments at SpaceX. However, the top memecoin that relies on the influence of the Tesla boss failed to surge. This has led experts to believe that DOGE could remain stagnant.

Elon Musk announced that Tesla and SpaceX would now accept Dogecoin as a means of payment in exchange for merchandise on both Tesla and SpaceX.

This update would allow users worldwide to purchase products and services with Dogecoin through their cryptocurrency wallets. The billionaire CEO of SpaceX has not hidden his motive for making Dogecoin a payment option, opening up the gates across shops in his projects.

A Twitter user and cryptocurrency expert, @Mangyek0, noted that capital rotation is ongoing in the crypto ecosystem and that investors’ mindset towards Dogecoin has changed. 

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Dogecoin Faces Low Adoption Rates Across Businesses

Despite the optimistic views from several analysts who believe that the Dogecoin price could surge when there is a utility boost, such drivers have done nothing to improve the meme coin’s value.  

As a result, an important reason why the crypto coin fails to pick up is poor adoption by businesses. According to Motley Fool, a financial advisory firm, 1300 businesses accept DOGE.

In the United States, about 36% of business owners accept Bitcoin as payment. But on the other hand, Dogecoin has not lived up to the hype and expectations.

In addition, Michelle Jongbloets, a crypto YouTuber and analyst, evaluated the Dogecoin price chart and noted that the DOGE price is retracing. Jongbloets stated that it is alarming to see a 20-day moving average and 50 days moving average closing in. Dogecoin price is currently well above the two moving averages; however, a crossover could confirm a bearish phase in DOGE.

DOGEUSD chart

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