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- Dogecoin boomed one more time following Elon Musk tweet
- The electric car manufacturer will produce some merchandise that would be bought in exchange for DOGE
- Elon Musk declared that Dogecoin is better suited for day-to-day transactions in comparison to Bitcoin
Dogecoin has been booming since the beginning of this year. However, the growth of the project has been attributed mostly to Elon Musk, the CEO of Tesla and SpaceX. Notably, on Tuesday, DOGE prices suddenly skyrocketed by 25% over some hours. It has been observed that the surge in price came following Musk’s latest tweet related to the meme-coin. Indeed, the electric car manufacturer will now accept DOGE as the only crypto coin for merchandise once the payments begin. Hence, electric cars could be bought in exchange for DOGE.
Tesla will accept Dogecoin for some merch
Over the past few days, Dogecoin was in a bearish mood trending downwards. Amid this month’s flash crash, when major large cap assets were shedding blood, the meme-coin had followed their trend. However, on Tuesday, the price of the meme-coin suddenly broke out and spiked by more than 25% to become the only major digital asset to deliver such gains on the day. Notably, the incline also helped the losses to turnaround and give DOGE holders 10% weekly gains.
Such trends came following Musk’s announcement that Tesla would soon begin accepting Dogecoin for merchandise. Indeed, the electric car manufacturer will make some merch buyable with the meme-coin and observe how that goes.
Musk believes DOGE is better for transactions
Elon Musk has been cherished as the Time Magazine’s 2021 person of the year. There he declared that Dogecoin is better suited for day-to-day transactions in comparison to Bitcoin. He also underscored that Bitcoin is a good store of value which is not the case with DOGE. Hence, investors prefer BTC more to invest and although DOGE has emerged as a joke, it has the potential to be used in day-to-day transactions.
Following the statement, Musk announced the adoption of an unusual position of accepting only DOGE out of all possible crypto options. Notably, the Tesla CEO has risked irking BTC proponents who were previously allowed and disqualified for being used as a method of payment due to environmental concerns.
Elon Musk is always bullish on DOGE
It is worth noting that this is not the first time that Elon Musk has been in favour of the exchange of crypto. In August 2021, Musk’s words also helped Dogecoin price to boom. At the time, the billionaire investor, Mark Cuban claimed that DOGE is the most robust crypto asset as a medium of exchange. Indeed, Musk affirmed his statement and claimed that he is also saying the same thing for a while. Hence, the words of the SpaceX CEO significantly shot up the price of the meme-coin. And since then, Musk is also being considered as the “Dogefather” in the crypto ecosystem.
