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Rode it with that stem setup (and seat almost slammed - I have ridiculously short legs), actually not all that bad but I have too many bikes right now, and tbh dx that has been neglected for 25 years doesn't work that well anymore, I had at least 2 shifters fail on me in the last year.
edit: for context, this has the same ST length as my road bike (both 50cm), so I could make it work somewhat, but it really isn't worth it to me atm. Plus, it's still in 100% original condition (apart from added reflectors, pump, cages and speedometer)
Swap the stem for something less 'antler-like' and drop the seat, you'd have a chance, no?