Dogecoin has been outpacing major cryptocurrencies like Bitcoin, up 30.5%, and Ethereum, which rose 40% over the same period.
Analysts attribute Dogecoin’s sharp rise to a blend of positive market sentiment and continued backing from influential figures, particularly Elon Musk, a longtime supporter of Dogecoin. Musk’s recent endorsements, combined with his ties to Trump, have ignited renewed investor interest in the coin.
In fact, Musk was just named as a co-lead of a newly created Department of Government Efficiency (which has the acronym DOGE, if you missed that) alongside former Republican presidential candidate Vivek Ramaswamy, which Trump said would “pave the way for my Administration to dismantle Government Bureaucracy, slash excess regulations, cut wasteful expenditures, and restructure Federal Agencies.”
Considering the people involved, this department could signify a new phase for government involvement with cryptocurrencies, fueling enthusiasm among investors.
At any rate, Dogecoin’s performance reflects growing optimism that Trump’s pro-crypto stance will foster a more favorable regulatory climate for digital assets.
Other cryptocurrencies have also experienced notable gains over the past week, with Cronos up 185%, Neiro 118%, Cardano 80%, and Pepe 75%, signaling a broad-based market rally following Trump’s win.
Despite Dogecoin’s recent performance, it still trades below its 2021 all-time high of $0.7376. As speculation grows around regulatory developments, investors will be watching closely to see if Dogecoin can indeed rocket to the moon.
