Dogecoin Surges Amid Trump-Led Crypto Rally

Dogecoin experienced one of the highest gains in the crypto market over the past 24 hours, with a surge of 51% to $0.43. This increase has elevated its market capitalization to $63.5 billion, as reported by The Block’s Dogecoin price page.

Just one month ago, Dogecoin's market cap stood around $16 billion. Its current price represents the highest point since 2021, making it the sixth-largest cryptocurrency by market cap.

The significant gains in Dogecoin's price appear closely linked to its unofficial ties with Elon Musk, CEO of Tesla and SpaceX. Musk, known as the world’s richest person and owner of social media platform X, has long been a proponent of Dogecoin.

Nick Ruck, director at LVRG Research, stated, “Dogecoin received a bullish push due to the U.S. presidential election, which saw heavy involvement from Elon Musk. Speculators believe Musk's involvement in the new White House administration may boost the price of DOGE, as it lagged during the last bull cycle compared to other cryptocurrencies.”

Musk has reportedly invested tens of millions of dollars in support of former President Trump’s re-election campaign, even appearing at campaign rallies. He has also promised to give away $1 million each day until the election in support of Trump, sparking calls for an investigation.

A recent suggestion of establishing a 'Department of Government Efficiency (DOGE)' under a potential Trump administration further fueled Dogecoin’s rise, according to crypto analyst Min Jung from Presto Research. Musk had previously discussed creating such a department to cut wasteful spending and simplify regulations.

Since Trump's victory, Musk has been involved in staffing decisions and is expected to have a “significant role” in the upcoming administration, as stated by ABC News. This deeper level of involvement may enhance Dogecoin's appeal in the market.

Jung noted, “Dogecoin’s position as the leading memecoin, along with its broad recognition among retail investors, makes it especially compelling in today’s meme-driven market.”