Elon Musk’s D.O.G.E Announcement Boosts Dogecoin

The Doge Godfather, Elon Musk, has recently boosted excitement within the Dogecoin community. Dogecoin surged 7% after Elon Musk introduced a new government department

Elon Musk, the Doge Godfather, has sparked fresh excitement within the Dogecoin community with his announcement of a new government department, dubbed “D.O.G.E,” during Trump’s campaign. This announcement has spurred a positive response from investors, leading to a 7% increase in Dogecoin's value.

Musk's D.O.G.E Announcement Boosts Dogecoin

Being a known supporter of DOGE, Musk made waves again with his D.O.G.E proposal once more. During a Pennsylvania campaign event for Donald Trump, Musk shared his plan for the Department of Government Efficiency (D.O.G.E.), aiming to streamline government spending to make it more effective. According to Musk, the department would operate similarly to a corporate company, rewarding success and penalizing failure.

This announcement, made in front of a large audience, quickly led to a spike in Dogecoin's value. The cryptocurrency surged by 7%, pushing its price past 13 cents, which is the highest it has been since late July. DOGE is currently trading around $0.137, showing a surge of nearly 12% in the past day.

Due to its association with Musk's ideas and past support, crypto investors saw Musk's plan as a potential boost for Dogecoin. Speculative traders reacted strongly, with DOGE open interest (the number of unsettled futures contracts) increasing sharply.

According to CoinGlass, Dogecoin's Open Interest is up by more than 28%, now exceeding $969 million. The increased open interest, along with rising prices, is seen as an indication of a strong market trend.

Dogecoin Outperforms Bitcoin Amid Market Excitement

While Dogecoin enjoyed a significant rise, other major cryptocurrencies did not see similar gains. Bitcoin, for example, only rose by 1% during the same period.

Dogecoin's impressive performance extended its one-week gain to over 24%, making it the top-performing cryptocurrency in that time frame.

Elon Musk's influence on the crypto market is nothing new. The market responds whenever he mentions Dogecoin or hints at a related development. His involvement in Trump's campaign and the proposed D.O.G.E department has created new interest in Dogecoin among traders.

According to Musk, D.O.G.E could significantly reduce government inefficiency, making taxpayer money work better.

Crypto traders are now speculating that discussions about D.O.G.E will continue if Trump wins the election, which could boost Dogecoin further. This anticipation, fueled by Musk's consistent backing of the meme coin, has led to a rise in speculative trading.

One influential trader even tweeted, “Elon Musk is simply going to meme the ‘Department of Government Efficiency’ into existence – with validation from Trump!”

Musk's Influence on DOGE Continues

Musk's history with DOGE goes beyond political connections. His companies, such as X and Tesla, have previously accepted Dogecoin as a form of payment. Each time Musk ties Dogecoin to a real-world use or teases new developments, the coin's price rises. This trend repeated itself after Musk's recent D.O.G.E announcement.

The announcement also led to increased interest in other meme coins. One Twitter user noted that Musk's promotion of Dogecoin could also positively impact Floki (F.L.O.K.I.), a meme project inspired by the name of Musk's pet dog.

everyone on CT seems to be talking about $DOGE now

don't forget that bonk guy gave you the playbook days before everyone all of a sudden jumped on the doge bandwagon and realized it is the best thing since sliced bread

it's also worth noting the relative strength from $FLOKI… https://t.co/AJybphVzYM pic.twitter.com/MVTjZqjQ5T

The user predicted that as Dogecoin gains traction, related meme tokens like F.L.O.K.I. will follow. Traders and investors are keeping a close eye on Musk's actions as they await the next development in the Dogecoin saga.