A famous analyst predicts that the price of Dogecoin could soon reach $5. This prediction comes in connection with the efforts of the Department of Government Efficiency (D.O.G.E.) led by Elon Musk to solve inflation problems in the United States. These developments, which are also associated with the increasing interest in cryptocurrencies, could accelerate the price of Dogecoin. Y Combinator CEO Garry Tan states that these factors will push the price of Dogecoin to $5.
Recently, Dogecoin has attracted attention with its significant price increase. This growth has developed in parallel with the revival of investors’ interest in meme coins. Dogecoin’s popularity is further strengthened, especially by Elon Musk’s close relationship with this coin.
The Department of Government Efficiency (D.O.G.E.) project, led by Musk and founded by Donald Trump, aims to reduce government spending and control inflation. Musk and his team, especially with figures like Vivek Ramaswamy, aim to eliminate the negative effects of excessive government spending on inflation by ensuring fiscal discipline.
Y Combinator CEO Garry Tan said that Dogecoin’s price increase is closely tied to the success of Musk’s D.O.G.E. initiative. Tan stated that excessive money printing reduces the value of the dollar and increases inflation, which erodes the purchasing power of the public. If the D.O.G.E. initiative is successful, according to Tan, Dogecoin’s price will increase strongly throughout 2025. Tan describes this rise as “rally power.”
Tan emphasized the importance of restricting government spending and controlling inflation. Elon Musk supports this view and stated that if inflation is controlled, there is a risk that cryptocurrencies will lose value against the dollar. However, Musk stated that the value of cryptocurrencies is not directly related to the dollar, but is instead based on factors such as scarcity and utility.
Elon Musk’s influence on Dogecoin continues to boost investor confidence. Speculation has also increased that Dogecoin could find wider use as a means of payment, with the D.O.G.E. initiative seeking a solution to the US’s inflation problems. This development strengthens Dogecoin’s acceptance as a store of value.
The cryptocurrency community is positively welcoming Elon Musk’s bold steps towards solving inflation. Expert analysts predict that Dogecoin could experience a strong rally thanks to its cultural appeal and increasing adoption rates. A recent analysis had stated that Dogecoin could rise to $0.75, $1.50 and $5 respectively. It is also emphasized that higher targets are on the horizon.
As of today, Dogecoin has increased by 1% to $0.3868. The transaction volume has increased by 26% to $3 billion. The DOGE price rose to $0.3978 during the day, while the lowest price was recorded at $0.3826. The increase in large-scale Dogecoin transactions also stands out as a factor supporting the rally.
The future of Dogecoin may become brighter with the influence of Elon Musk and the D.O.G.E. initiative. In light of these developments, the $5 level seems like a possible target for investors.
