Date: Mon, March 31, 2025 | 06:44 PM GMT

The cryptocurrency market experienced significant selling pressure last week, with Ethereum (ETH) falling over 12% and dipping below $1,850. This broader downturn heavily impacted memecoins, with Dogecoin (DOGE) extending its 90-day correction to 47%.

Adding to the bearish sentiment, Elon Musk clarified that the U.S. government has no plans to adopt DOGE, further depressing the token's price.

Source: Coinmarketcap

Elon Musk Denies U.S. Government Dogecoin Adoption

Elon Musk addressed rumors regarding Dogecoin's potential use by the U.S. Department of Government Efficiency. Speaking at the America Pack Town Hall in Green Bay, Wisconsin, he stated, "There are no plans for the government to use Dogecoin or anything."

Source: @WatcherGuru (X)

Musk explained his choice of agency name, adding, "I was going to call it Government Efficiency Commission, but that’s a super boring name. Then the internet said it needs to be the Department of Government Efficiency. I was like, the internet is right."

Still a Buying Opportunity?

Despite Musk's statement, this isn't necessarily bearish for DOGE. Its market dominance stems primarily from its memecoin status, not utility.

Crypto analyst Surf highlighted a recurring pattern in DOGE's price history. As shown in the chart, past corrections have been followed by strong rallies.

Dogecoin (DOGE) Weekly Chart/Source: @_CryptoSurf (X)

The white circles indicate past corrections, each followed by significant upward price movements. These dips into accumulation zones have historically preceded powerful surges and new uptrends.

If this pattern repeats, DOGE could be poised for another major rally, potentially reaching new all-time highs.

Disclaimer: This article is for informational purposes only and is not financial advice. Always conduct thorough research before investing in cryptocurrencies.

Also Read: Dogecoin (DOGE) Drops as Elon Musk Denies US Govt Adoption – Still a Buying Opportunity?