Meme-inspired cryptocurrency tokens Dogecoin ($DOGE) and Floki ($FLOKI) experienced a notable upswing of up to 12%, followed by a slight retreat. This surge was triggered by the activity on the @x payments profile within the X social app, which sparked optimism about adoption within the cryptocurrency community.
Over the weekend, trading volumes for both DOGE and FLOKI surged by 200%, as reported by CoinGecko. This increase in activity occurred even as overall cryptocurrency volumes remained relatively subdued, with limited market volatility. Additionally, futures linked to these tokens recorded a rise in open interest, reaching a combined value of $430 million from the previous $200 million, indicating a growing interest in speculative bets.
DOGE has a history of responding positively to developments related to payments within companies owned by Elon Musk, such as X or Tesla. On the other hand, Floki, named after Musk’s dog, is considered a beta bet among midcap traders.
Speculation has emerged that advertisers might soon be able to use DOGE for various transactions, including payments for ads on platforms like Twitter. Simon Schaber, Chief Business Development Officer of Spool DAO, shared insights last July, suggesting that the speculation revolves around the possibility of Musk’s businesses and holdings, like Tesla, starting to accept cryptocurrencies.
The @xpayments account quickly amassed over 100,000 followers since its establishment late on Friday. In an earlier blog post in January, X announced plans to introduce peer-to-peer payment capabilities on the application later this year, with Musk expressing the potential inclusion of cryptocurrencies.
While there hasn’t been official confirmation about DOGE being accepted as a payment option, akin to Bitcoin (BTC) or Ethereum (ETH), speculation persists. In April 2023, Musk hinted at the possibility of DOGE payments on Twitter, proposing it as one of the payment choices for Twitter Blue, the platform’s subscription service with premium features. It’s worth noting that Tesla, Musk’s electric car company, already accepts DOGE payments for merchandise purchases in the Tesla Store.
