Bitcoin slumped to $32,000 over the weekend, signaling the persistence of volatility in the cryptocurrency trade, which traders call a rollercoaster market. The decline was partly due to Elon Musk and his electric vehicle company, which would no longer accept bitcoin as payments.

The value is almost 50 percent lower compared to this year's high of $64,800. Bitcoin value surged earlier after Musk. Also, the chief operating officer of space exploration company SpaceX said Tesla would accept Bitcoin as car payments.

SpaceX also announced it would launch a lunar mission or a spaceflight to the moon, which will accept meme-based dogecoin as payment.

Musk is known for influencing the bitcoin values, dogecoin, or any other virtual coin on his Twitter feed.

Bitcoin downside pressure

Musk's Tesla reversal on bitcoin payment has sent the coin spiraling downwards. But it was not the sole factor in the decline. China's Financial Stability and Development Committee has tightened its regulations on bitcoin and the ban on crypto-related services in a bid to curb fraud.

The U.S. Treasury Department is also eyeing more regulation of large bitcoin transfers, which could be mandated to report to the Internal Revenue Service, reports have said.

Musk's bitcoin and crypto love affair

Despite his influence that many times have brought bitcoin and other virtual money to their lowest levels, Musk said he would support cryptocurrencies against fiat currency.

In a Twitter reply, the tycoon said: "The true battle is between fiat & crypto. On balance, I support the latter."

What's next for bitcoin, dogecoin?

Although the billionaire previously promoted dogecoin, he said he would not sell the said coin.

Discuss this news on Eunomia

In a Twitter poll, Musk asked users whether or not they would like Tesla to accept dogecoin as payments. At least 78.2 percent of respondents replied in the affirmative.

Musk said he would put the first crypto to the moon with its lunar mission.

"SpaceX is launching satellite Doge-1 to the moon next year – Mission paid for in Doge – 1st crypto in space – 1st meme in space", Musk Twitted.

"This mission will demonstrate the application of cryptocurrency beyond Earth orbit and set the foundation for interplanetary commerce", Tom Ochinera, the vice president of SpaceX Commercial Sales, said in a statement released by Geometric Energy, according to a Reuters report.

China is also piloting the use of central bank-issued digital currencies in several provinces, which also prompted other central banks to look into digital money.

Financial experts have said many use cases to cryptocurrencies due to their decentralized nature and the blockchain technology where other programs could be built on top of. It could also stir fiat money but is unlikely to be as steady as the legal tender.

Those engaged in crypto trade are advised to study the technology to ride the volatility wave.