Under Trump's new administration, Elon Musk will head the "Department of Government Efficiency" - or "DOGE" for short. The name is a playful reference to the internet meme behind the cryptocurrency Dogecoin, which gave the biggest meme coin a significant boost last week.
Launched in 2013 as a parody of bitcoin, Dogecoin is considered the first meme coin. Inspired by the popular "Doge" dog meme, it was initially created as a joke, but quickly gained traction due to its playful community and low barriers to entry. Its success sparked a wave of other meme-based cryptocurrencies. If Dogecoin follows the largest digital asset to new all-time highs, this joke currency could soon be marching toward the long-awaited $1 mark for investors.
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Elon Musk heads DOGE agency
The entrepreneur and world's richest man has once again provided significant support to presidential candidate Donald Trump's campaign. In return, the Republican appointed him to lead a new cost-cutting role, it was recently announced. Musk humorously named the department the Department of Government Efficiency ("DOGE"), which he will co-head with biotech investor Vivek Ramaswamy. Shortly after Trump's victory, the "Elon Effect" on Dogecoin's price began.
In the eight days since the election results, DOGE has jumped over 100% from just under 20 cents to 40 cents. Not far from its all-time high of 75 cents, which Dogecoin reached during Musk's appearance on the popular TV show Saturday Night Live (SNL), the meme coin is no longer out of reach. Even then, DOGE holders were hoping to break the $1 mark. Three years later, the joke currency may finally reward investors for their patience.
First signs of renewed meme coin mania
Musk's statements have significantly shaped the meme coin market over the past market cycle. His public support pushed Dogecoin's market cap to over $80 billion. Meme coins referencing other statements by the tech billionaire skyrocketed within minutes. A similar pattern is happening again. Numerous Musk-inspired meme coins now exist, with daily trading volumes in the hundreds of millions.
