The billionaire businessman has made comments of support that have driven the price of DOGE higher. It is unclear whether people can acquire electric cars with cryptocurrencies, but many consider this favorable.
In recent days, the cryptocurrency community turned its eyes to Elon Musk, who announced something about Dogecoin (DOGE). The billionaire businessman expressed the willingness of Tesla to accept the memecoin as a payment method for its new merchandise.
Tesla Will Test Cryptocurrency Payments with DOGE
There have been rumors about the influence of Elon Musk on memecoins on the Internet for some time. On past occasions, the controversial billionaire entrepreneur has issued comments of support about the growth of DOGE.
Part of the crypto community would agree with the company accepting money transactions in crypto assets. However, there has not been any confirmation of their intention to allow cryptocurrency payments.
Alluding to a future where people can buy merchandise at Tesla, Musk would be considering that possibility. He recently tweeted that he is willing for his company to receive payments with memecoin Dogecoin.
The CEO of Tesla said that the firm would release DOGE-friendly merchandise to assess its progress.
The Community Expresses Its Reactions to the Initiative
The reactions of the crypto community occurred immediately after the businessman showed the public the initiative Tesla would undertake. Although it is not yet clear whether people can buy electric cars with cryptocurrencies, part of the community considers this favorable.
For the moment, they will test payments with DOGE on other products, apart from cars. When writing this article, 330 thousand people expressed their approval/support for that initiative on Twitter. It has received nearly 50 thousand retweets and over 9 thousand quotations.
Concerning the crypto market, a boost in the value of DOGE also made the optimism among traders evident. From the moment investors assimilated the comments from Musk, they started generating a bullish run of about 20%.
When they considered the possibility of making payments with Dogecoin, its price went from USD 0.15 to USD 0.19 in 24 hours.
However, the selling positions did not take long to control the market after that momentum. In any case, the volatility of memecoins appears every day when influential personalities issue comments about them.
Elon Musk Expressed His Support for DOGE
The impact of Elon Musk on the fluctuating price of memecoin Dogecoin is increasingly evident. Many DOGE devotees follow the businessman on Twitter to know everything he says about it.
Musk has posted tweets referring to the dog identifying the cryptocurrency, which has motivated people to purchase it. In addition, a rebound effect has led the value of the memecoin to increase.
Even though Musk recently reaffirmed his interest in Dogecoin, he warned that he would evaluate that initiative. Besides, his company has stated that it has not yet sold its Bitcoin.
The businessman argued that Tesla would not allow that form of payment unless Bitcoin mining reduces its energy consumption. However, he said that he still maintains his support for the cryptocurrency, which he keeps as a store of value.
DOGE is trading at around USD 0.16953 and has accumulated a loss of 2.8% in the last 24 hours. Its daily trading volume is above USD 1.6 billion, and its market capitalization is about USD 22.4 billion, according to CoinGecko.
By Alexander Salazar
