DOGE transforms into D.O.G.E benefiting from the "Trump trade" surge

Author: Jessy, Golden Finance

On October 29, DOGE surged, breaking through $0.16, with a 24-hour increase of 17%.

As the U.S. election approaches, the Trump trade has once again proven effective, and DOGE has successfully captured political traffic, joining the Trump trade bundle.

DOGE's ability to ride the wave of the U.S. election is closely tied to the world's richest man, Elon Musk, who has unreservedly supported Republican candidate Trump with his time, money, and capabilities in this election.

Now, Musk's brand and reputation are highly intertwined with Trump's brand and reputation. Supporting Trump is an important step for Musk to realize his political ambitions. The alignment of interests with Trump will also benefit his business empire once Trump is elected. The impressive performance of DOGE is a prelude to this benefit.

DOGE Becomes D.O.G.E

The highest price for DOGE was during the last bull market in April 2021, breaking through $0.7.

This was thanks to Musk's tweet on Twitter featuring "Doge Barking at the Moon" along with an image.

Musk has become the most famous supporter of DOGE, frequently mentioning it in tweets and calling it "the people's crypto," while he himself has become known as the father of Dogecoin. It was Musk's repeated mentions in tweets that allowed DOGE to break into the mainstream, pushing its market cap into the top ten of cryptocurrencies.

In this cycle, Musk has still been deliberately promoting DOGE multiple times, the most recent being his proposal to establish a Department of Government Efficiency, abbreviated as D.O.G.E. The name and abbreviation of the department came from suggestions by the DOGE community, which Musk adopted.

The Department of Government Efficiency stems from an initiative he co-launched with Trump, aimed at conducting a comprehensive financial audit of the federal government and proposing measures to reduce waste, fraud, and unnecessary spending.

Trump himself responded positively to Musk's proposal for the Department of Government Efficiency, announcing during a speech at the New York Economic Club on September 6 that he would work with Musk to create the department if elected president.

DOGE has thus capitalized on the D.O.G.E traffic, and during Musk's speech at a Pennsylvania town hall on October 17, he discussed the D.O.G.E plan again, causing DOGE to surge by 30%.

The potential of DOGE lies in its strong association with Musk; the billionaire knows how to create buzz, just like this time, DOGE is riding the election wave. As long as Musk remains active in the spotlight, DOGE will always have hot topics to latch onto.

Technological Accelerationist Musk Supports Trade Protectionist Trump

This time, Trump was able to positively respond to Musk's initiative to establish D.O.G.E because their interests are now highly aligned.

Since Trump was assassinated in July 2024, Musk has become a regular presence in Trump's campaign activities.

In the U.S. election, the final outcome will actually be determined by the votes of a few swing state voters. In these areas, the support rates of both parties are currently evenly matched.

Pennsylvania, with its 19 electoral votes, has become the most important swing state in this election. According to election analyst Nate Silver, the candidate who wins this state has over a 90% chance of entering the White House.

According to The New York Times, to help Trump secure Pennsylvania, Musk has moved there to oversee Trump's campaign efforts.

Musk has promised to randomly give away $1 million every day to a person who signs an online petition he initiated, supporting free speech and gun rights, before voting day. However, signers must be registered voters in the U.S. and reside in one of the seven swing states: Arizona, Georgia, Michigan, Nevada, North Carolina, Pennsylvania, or Wisconsin.

Additionally, Musk is offering a $100 reward for each Pennsylvania registered voter who signs the petition, and they can also earn $100 for recommending another Pennsylvania registered voter to participate in the petition.

According to data from the nonprofit tracking organization Open Secrets, Musk's political action committee, America PAC, has spent over $119 million in this election cycle supporting Trump. Moreover, Musk's personal donations have made him one of the largest individual donors in the presidential campaign.

After acquiring Twitter, Musk has turned it into a platform for supporting Trump in public opinion.

Fully supporting Trump is an important step for Musk to realize his political ambitions.

The combination of top billionaires and powerful politicians is not uncommon. This time, Musk and Trump have brought this combination to the forefront. Big capital has always had unparalleled influence in the U.S., typically betting on both sides during elections to ensure their business interests are protected regardless of who wins. It is very rare in U.S. history for someone like Musk to openly and deeply support a particular candidate.

Musk's heavy bet on Trump is primarily because Musk's political ideology aligns closely with Trump's.

Musk is a believer in technological accelerationism, which posits that all resources available in a capitalist society should be used at all costs to advance towards a "technological singularity." This technology could be big data, cryptocurrency technology, artificial intelligence, brain-computer interfaces, Mars colonization technology, or biotechnology. Regardless of what it is, pushing for technological innovation at any cost is seen as the only ethically justifiable action. Humanity must accelerate the pace of technological progress and construction to ensure survival and assert its existence in the universe.

Conservatives who believe that various new technologies should be more heavily regulated are naturally labeled negatively by accelerationists as "decelerationists."

In the eyes of Musk and other tech giants, the Democratic elite in the U.S. are precisely the "decelerationists." Trump, as a businessman who opposes environmentalism and supports trade protectionism, has become the target of support from Musk and others.

Once Trump is in office, Musk will directly benefit, not only by realizing his political ideals—becoming the head of the Department of Government Efficiency—but also his business empire will directly benefit.

Analysts suggest that after Trump takes office, he may impose higher tariffs on Chinese electric vehicle manufacturers, which could be a good thing for Tesla.

Moreover, the Republican platform shaped by Trump includes promoting cooperation between the government and Musk's monopolistic commercial space company, SpaceX.

More importantly, Musk and Trump are of the same ilk; they see each other and form an alliance to maximize their mutual interests. The surge in DOGE is a pre-emptive realization of these benefits. After Trump is elected, there may be more similar moments.

In the future, Musk-related concept coins or stocks will also be highly tied to the "Trump trade."