Since the US election, the crypto market has been on a high, fueled by Trump’s crypto-friendly campaign promises. Dogecoin in particular is benefiting from the hype surrounding the new “Department of Government Efficiency (DOGE)” and is recording enormous price gains.
Crypto market on the rise since US election
The crypto market has been on the rise since the results of the US elections. The election winner Trump had previously promised during the election campaign to create a crypto-friendly regulatory environment, build a strategic Bitcoin inventory and make the USA the world’s leading center of the industry.
The most important cryptocurrencies then rose significantly. Bitcoin has increased by around 15 percent in the past five days. Ethereum also rose by 10.91 percent in the same period. Bitcoin has even been on a real record hunt in recent days. On Tuesday, after several attempts, the crypto rock managed to rise above the 90,000 US dollar mark for the first time. The digital gold then broke its record several times until it reached a new all-time high of 93,425 US dollars on Wednesday. BTC is currently back at 87,200 US dollars.
“The 100,000 USD mark could soon be reached,” wrote Timo Emden of Emden Research. The pace of the current rally is both impressive and worrying. “Now even the last market participants are betting that Donald Trump will act as a patron saint for Bitcoin and Co. and actually implement his previous promises,” the commentary continued.
Trump launches DOGE
As the soon-to-be President of the USA announced in an official statement via social media platform X, he will launch the “Department of Government Efficiency (DOGE).” The project, which Elon Musk will lead and in which he will work with Vivek Ramaswamy, is intended to make the government more efficient and streamlined.
— Donald J. Trump (@realDonaldTrump) November 13, 2024
“This will send shockwaves through the system and anyone involved in government waste, which is a lot of people,” said Donald Trump.
“All actions by the Department of Government Efficiency will be published online in the interest of maximum transparency. If the public thinks we are cutting something important or not cutting something wasteful, just let us know! We will also be ranking the dumbest spending with your tax dollars. This will be both extremely tragic and extremely entertaining,” the Tesla CEO said in a post.
DOGE coin benefits
The acronym DOGE quickly caused a stir and was well received by fans of the popular memecoin Dogecoin, which Musk is known to support. The billionaire also posted a logo for the DOGE project via X, which includes a dog, which is also probably a reference to the coin.
— Elon Musk (@elonmusk) November 13, 2024
Since the election, Dogecoin has seen a gain of 150 percent. Amid the hype surrounding the new project involving Trump and Musk, Dogecoin rose by more than 10 percent. The gain in the past five days is 107.93 percent. This price increase was fueled by speculation that Musk’s management of DOGE could indicate a possible integration of the cryptocurrency into his projects or companies. The memecoin last cost 0.386 USD.
In addition, Musk recently hinted at reintroducing Dogecoin as a payment method for Tesla products, as BeInCrypto reports. This speculation also contributed to the rise in Dogecoin’s price after Trump’s announcement.
As CNBC explains, memecoins are considered a barometer of retail investors’ interest and risk appetite in the crypto market. An increase in memecoin activity often signals that retail investors are entering the market more deeply and are willing to take higher risks.
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