The cryptocurrency DOGECOIN, popular among speculators, jumped nearly 15% after Elon Musk's Tweet that Tesla (TSLA.US) will allow cryptocurrency payment for some electric carmaker's merchandise. This is therefore a confirmation of what Musk had already announced in December 2021. However, there are a few conditions regarding buying products with Doge. Firstly, payment in cryptocurrency requires the buyer to have a special cryptocurrency wallet through which the transaction will take place. In addition, the waiting time for the transaction can take up to 6 hours due to the speed of the Dogecoin network. The transaction also cannot be cancelled or request a refund of the funds paid.
This is another Tesla project in which the utility of cryptocurrencies is actually realized. As a reminder, a year ago Tesla's CEO communicated that the company had purchased nearly $1.5 billion worth of Bitcoins and was going to enable payment with them. But then the idea quickly fizzled out, and Tesla stopped accepting BTC due to its high environmental footprint.
Looking at the chart of DOGECOIN on the D1 interval, we notice that the growths were stopped at the resistance set by the EMA 200 (gold line) and the 38.2% retracement. Currently, the quotes have fallen below these limits and are now struggling to stay above the EMA 50 (blue line). Source: xStation 5