Buenos aires allowing dogecoin for tax payments is a positive step for real-world adoption, increasing its utility. however, the immediate market reaction has been negative, suggesting broader market factors or already priced-in expectations are at play.
The news is confirmed by the official dogecoin team's reaction to reports of a city policy, making it highly credible.
While fundamental adoption is bullish long-term, doge experienced a 3.53% drop in the last 24 hours. the article notes 'momentum remains soft' and recovery attempts fading, indicating that current market sentiment is overriding this positive news in the short term.
Increased real-world utility and adoption, especially from government entities, tend to have a more gradual and sustained positive impact on price over the long term as confidence and usage grow.
Cover image via U.Today Disclaimer: The opinions expressed by our writers are their own and do not represent the views of U.Today. The financial and market information provided on U.Today is intended for informational purposes only. U.Today is not liable for any financial losses incurred while trading cryptocurrencies. Conduct your own research by contacting financial experts before making any investment decisions. We believe that all content is accurate as of the date of publication, but certain offers mentioned may no longer be available. Read U.TODAY on Google News In a recent tweet, the Dogecoin team reacted to an adoption milestone for the first and largest meme cryptocurrency, Dogecoin (DOGE). Advertisement According to reports, Buenos Aires' "BA Cripto" policy package allows residents and businesses to settle city taxes and administrative fees using cryptocurrencies, including Dogecoin. Reacting to the report, Dogecoin official X account tweeted "Doge is everywhere." HOT Stories Morning Crypto Report: Elon Musk's SpaceX Relocates $100 Million in Bitcoin, USD Stablecoin $1 Million Exploit, New Cloudflare Outage Takes Down Coinbase XRP Hits Deepest Fear Levels Since October Crypto Market Prediction: 150% Shiba Inu (SHIB) Skyrocketing, Is Ethereum (ETH) Death Cross Cancelation Confirmed? Where's Bitcoin (BTC) Going to Stop: $93,000, $86,000 or Lower? Ripple Finalizes Acquisition of Treasury Management Giant GTreasury doge is everywhere https://t.co/KRVhwCG78l Advertisement — Dogecoin (@dogecoin) December 5, 2025 Buenos Aires continues to position itself as a crypto hub. In November this year, Binance announced it had signed a collaboration agreement with the government of the city to promote safe and responsible cryptocurrency adoption. Part of the agreement is an awareness initiative, "Live Crypto in Your City," launched by Binance and the city to inform residents about how cryptocurrencies work and how they can be used securely. The campaign highlights practical use cases for digital assets, helping more citizens experience crypto as a tool for empowerment. This week, Vanguard Group, the world’s second-largest asset manager, announced its decision to allow ETFs and mutual funds that primarily hold cryptocurrencies to be traded on its platform, reversing a longstanding position. Dogecoin price Dogecoin reversed a two-day rise on Dec. 4. The drop has entered its second day, with Dogecoin down 3.53% in the last 24 hours to $0.144 and down 4.25% weekly. U.S. macroeconomic data and institutional developments influenced market sentiment and volatility at the start of the week. Vanguard opened access to crypto ETF trading for clients earlier this week, and Bank of America told institutional customers they may allocate 1%-4% of their portfolios to digital assets. The CME launched a VIX-style implied volatility index for Bitcoin futures, with other altcoins to follow. However, momentum remains soft, with recovery attempts fading in a sign that liquidity is still thin above current levels. Liquidation data reveals a total of $298 million over the past day across the crypto market, with nearly $218 million in long liquidations and $80.13 million in shorts. #Dogecoin News #Dogecoin