Dogecoin, one of the largest meme-based cryptocurrencies by market capitalization, experienced a modest surge recently following a cryptic tweet from one of its earliest and most prominent backers.
Elon Musk, the multi-billionaire owner of X (formerly known as Twitter), has long played a key role in the promotion of Dogecoin, particularly during its early days. On September 7, Musk once again indirectly endorsed the cryptocurrency after a notable hiatus from discussing crypto.
Musk’s tweet, which alluded to his concept of a “Department of Government Efficiency” (DOGE), featured an AI-generated image of himself alongside the acronym DOGE. The post quickly gained massive attention, accumulating over 70,000 retweets and being viewed by a staggering 68.7 million people.
This subtle promotion of Dogecoin reignited enthusiasm for the asset on social media platforms, boosting its on-chain social dominance and sparking widespread discussions about its potential.
This isn’t the first time Musk has used his social media presence to elevate Dogecoin’s profile. In August, a similar Dogecoin-inspired tweet led to an increase in the asset’s price.
Musk’s influence on the cryptocurrency space, especially Dogecoin, has been notable over the years, often causing significant price fluctuations with just a single post.
In addition to his involvement with Dogecoin, Musk has also been a low-key supporter of Donald Trump’s political campaigns. There is growing speculation that Musk could play a role in Trump’s administration should the former president win the next election.
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Musk’s idea of a “Department of Government Efficiency” stems from his belief that government bodies are often bogged down by bureaucratic inefficiencies and could be run more effectively.
Following Musk’s recent tweet, Dogecoin saw a 1.2% increase, pushing its price to $0.09579. Analysts believe this rise could continue, with the asset having the potential to reach $0.10 in the near future, provided selling pressure does not intensify.
According to data from IntotheBlock, the broader market sentiment is bullish, with investors expressing interest in buying an additional $50 million worth of Dogecoin—exceeding the 399 million coins currently available for sale.
As of the time of the report, Dogecoin was trading at $0.09579, with a 1.2% increase in the last 24 hours. The cryptocurrency reached a maximum price of $0.09687 and a minimum of $0.09433 during that period. Despite the recent uptick, Dogecoin remains down 86.9% from its all-time high of $0.7316, which it achieved during the crypto boom in 2021.
Nonetheless, market analysts remain cautiously optimistic, suggesting that Dogecoin’s price could reach $0.10 if the current momentum continues and no significant selling pressure emerges. Musk’s ongoing influence, paired with growing social media attention, may provide the catalyst Dogecoin needs for further gains.