Elon Musk has officially denied the possibility of the U.S. government adopting Dogecoin, causing market expectations to plummet and triggering an immediate downward reaction in DOGE’s price.
According to cryptocurrency news outlet CoinGape on April 1 (local time), Elon Musk recently stated at the "America PAC Town Hall" event that the U.S. government has no plans to adopt Dogecoin as an official payment method.
He clarified that the "Department of Government Efficiency (DOGE)," which he leads, shares only a name with the meme coin Dogecoin and has no substantive connection to it.
CoinGape reported that following Musk’s remarks, Dogecoin’s price dropped by approximately 2%, currently trading at $0.1660. This decline comes as the coin nears the completion of a Falling Wedge pattern in technical analysis, with negative fundamental news adding further pressure.
Investor sentiment is likely to weaken in the short term. Some analysts have suggested a bullish scenario where DOGE could rise to as high as $8 if it breaks above the trendline it has maintained over the past three months. However, if this trendline acts as resistance, further declines cannot be ruled out.
Some experts believe that future ecosystem developments, such as the launch of the "House of Doge Reserve," could serve as a trigger for a Dogecoin rebound. In particular, the meme coin’s community-driven momentum and Musk’s ongoing influence are still seen as potential drivers of upside.
From a technical perspective, $0.1600 serves as a short-term support level, and a breach below this could attract strong selling pressure. Conversely, if DOGE stabilizes above $0.1850, it could signal a mid-term bullish reversal.
