Use by outsiders doesn't matter, perception by insiders does matter, and it now matters most. I thought that was the whole point.
I never believed for a second, that there was anything derogatory intended about Milwaukee's team being called Braves, they were admired by all Midwest boys. Of course, then they moved to "that city", and their insulting chant and tomahawk chop. I've known and cared about many American Indians.  If they're offended, it"s offensive. 
Also, I have lived through Colored People to Negro to Black to Afro-American to Black to African-American.
I can't imagine referring to any Black human being as a Negro without that human feeling insulted now, regardless its honorable origin. My ears still burn with the way visitors from Missouri would refer to, what were at that time, called Negroes by respectful people...Mother being foremost among the respectful.