A new meme coin supporting Elon Musk and Trump called Department Of Government Efficiency ($DOGE) surged 8%, dropped 14%, then recovered 10% within 15 minutes this morning UTC.
According to the data, $DOGE was trading at $0.00000585 at 08:39 AM UTC. Less than ten minutes later, at 08:48 AM, the meme coin surged vertically to $0.0000063.
The rapid sell-off in the six minutes that followed caused the price to drop to $0.00000541 before this token ultimately recovered at 9:05 AM and was trading at $0.00000593.
Now, it is important to remember that $DOGE is a small-cap meme coin. With a market capitalization just over half a million dollars, a trader doesn’t need much money—relatively speaking—to manipulate its price...
Is Elon pumping $DOGE?
Elon Musk has a long history with cryptocurrency. Back in 2021, he frequently tweeted about Dogecoin ($DOGE) and caused the price to skyrocket. Through Tesla, he also invested $1.5 billion in about 43,000 Bitcoin before selling about three-quarters of that.
Oh, and one of the largest meme coins—Floki ($FLOKI) worth $1.3 billion—is named after his pet.
Therefore, Elon is no stranger to cryptocurrency. However, the connection between Elon and $DOGE is not clear.
In a speech in September, Elon promised that if Trump was elected as the 47th President: 'I will establish an effective government committee tasked with conducting a comprehensive financial and performance audit of the entire federal government.' For his part, Trump seemed interested in this idea.
Therefore, $DOGE seems to represent the fans of the Musk/Trump duo. However, considering its small market capitalization, it is not a popular coin.
Instead, what we see on the price chart are frequent vertical price spikes followed by rapid declines. This can only happen when whales get involved, pump the price, sell off for profit, and then come back again.
However, this token still has strong support. About two weeks ago, $DOGE reached an all-time high of $0.000009003, but is currently trading 36% lower than that.
The relative strength index is 54, indicating that the current token price is quite reasonable, paving the way for further price increases from now until Tuesday when the election is decided.
