Will Dogecoin Ever Reach 1$ with Elon Musk’s Push?

The launch of TRUMP, the official meme coin of President Donald Trump in January 2025, may have signaled the start of a new era in the meme coin market.

The launch of TRUMP introduced a wave of new investors to the crypto market. Many who had never engaged with digital assets purchased their first tokens and began exploring the space. Those who discovered TRUMP are likely to learn about Ethereum (ETH) and eventually come across meme coins, with Dogecoin leading the way.

But can this newfound interest drive DOGE to the long-awaited $1 mark? What role does Elon Musk play, and could the creation of D.O.G.E. (Department of Government Efficiency) influence Dogecoin’s price?

Let’s dive into these questions and find out.

What Is Dogecoin? From Internet Meme to a Potential Role in TradFi

Dogecoin (DOGE) was created in 2013 as a lighthearted parody of Bitcoin. Its symbol, a Shiba Inu dog, is based on the real-life dog Kabosu, who became an internet meme. The coin’s creators, Billy Markus and Jackson Palmer, launched Dogecoin without any serious goals—it was meant to be a fun alternative to the leading cryptocurrencies of the time. Instead, it became the foundation of the meme coin movement.

It’s hard to determine DOGE’s market capitalization at launch, as few people were even familiar with Bitcoin, let alone a niche token like Dogecoin. In its early days, it was likely used only by the creators’ friends and a small group of crypto enthusiasts. Today, Dogecoin has grown into a widely recognized digital asset, with 7.4 million holders worldwide.

As of this writing, Dogecoin’s market capitalization is $39 billion, making it the top meme coin by a wide margin. It leads Shiba Inu (SHIB) at $9.4 billion and Pepe (PEPE) at $4.25 billion.

Currently, DOGE is trading at $0.26, and many in the community believe it still has room for growth. The question that has persisted for years remains: Will Dogecoin ever reach $1? 

The ongoing trend of cryptocurrencies surpassing their all-time highs (ATH) fuels optimism among investors.

Dogecoin Soars to $0.74 in 2021 as Elon Musk Sparks a Rally: Key Events

From its creation until January 2021, Dogecoin remained a niche cryptocurrency. At the time, the market’s attention was focused on Ethereum, Ripple, and EOS, while the dog-themed meme coin was largely overlooked.

That changed when Elon Musk stepped in—the man who played a pivotal role in making Dogecoin what it is today.

While most of the major events between Musk and DOGE took place in 2021, their connection actually began two years earlier.

It all started on April 1, 2019, when Dogecoin’s official Twitter account posted a lighthearted poll asking users who should be the project's next CEO. Elon Musk won by a wide margin.

The next day, Musk played along with the joke. He tweeted, “Dogecoin might be my favorite cryptocurrency. It's pretty cool,” then “resigned” from his imaginary role, changing his Twitter bio to “Former CEO of Dogecoin.”

Later that day, he shared a satirical article about Bitcoin, adding that Dogecoin’s price could fluctuate. This sudden surge of attention caused DOGE to jump 30%.

In June 2020, during a stock market rally amid the pandemic, Musk posted a Dogecoin meme. The image showed a sandstorm labeled “Dogecoin standard” approaching the global financial system. His caption was brief: “It’s inevitable.”

After Musk’s post, Dogecoin’s price instantly doubled, though it later corrected.

In December 2020, during a period of heightened crypto market excitement, Musk sparked interest again. Just days before Christmas, he tweeted a single word—”Doge”—and later updated his bio to “Former CEO of Dogecoin” once more. This triggered another rally in DOGE’s price.

It’s fair to say that Elon Musk played a pivotal role in transforming Dogecoin from a joke into one of the most talked-about cryptocurrencies. 

For example, during the meme coin frenzy of January 2021, Musk supported retail investors in the GameStop saga, taking a stand against hedge funds. As interest in the stock market waned, he redirected attention to Dogecoin, presenting it as a symbol of the fight for a fair market.

In February 2021, Musk began actively promoting Dogecoin on Twitter. His posts, memes, and polls about the cryptocurrency’s future regularly triggered sharp price surges. He referred to Dogecoin as “the people’s currency”, backed its development, and even promised to send DOGE to the Moon with SpaceX.

Musk’s influence on DOGE remained strong throughout 2022. He publicly encouraged McDonald’s to accept Dogecoin, and after acquiring Twitter, he temporarily changed its logo to the Shiba Inu meme. Every tweet or action he took caused noticeable price movements, reinforcing his continued impact on the token.

Now, Musk’s focus extends beyond social media. On January 20, 2025, a presidential executive order established the Department of Government Efficiency (D.O.G.E.)—a special commission under President Donald Trump, tasked with reducing federal spending. Musk is set to take a leading role in the department.

What Is D.O.G.E. and Why It Won’t Push DOGE to $1

Elon Musk’s latest initiative isn’t about space, AI, or blockchain—instead, the X owner is stepping further into the political arena. He is set to lead D.O.G.E., a newly proposed but still unofficial U.S. government department.

D.O.G.E. is focused on reducing bureaucratic waste by cutting $1–2 trillion in federal spending. Initially supported by former presidential candidate Vivek Ramaswamy, the initiative is now entirely under Musk’s control following Ramaswamy’s departure from politics.

Related: Elon Musk Declares: ‘No Highs, No Lows—Only DOGE’ as Debates Heats Up

Musk's approach focuses on technological reform and drastic spending reductions. While this strategy has worked in business, it could face legal and ethical challenges in government. 

Potential initiatives of D.O.G.E.:

• Abolishing the IRS – Musk ran a poll asking if the Internal Revenue Service (IRS) should be eliminated, with the majority voting in favor.
• Ending the Federal Reserve – Elon has supported Ron Paul’s proposal for the U.S. to exit the Federal Reserve System, which Paul has compared to mainstream media in terms of influence.
• Optimizing Defense Spending – Musk has suggested improving the efficiency of military expenditures, though he has not outlined how D.O.G.E. would contribute to this effort.
• Ending Remote Work & Reducing Government Staff – Musk and Vivek Ramaswamy have pushed for federal employees to return to offices and for a downsizing of government positions.

D.O.G.E. has put forward several initiatives aimed at reducing federal expenditures, including cutting humanitarian aid, eliminating minor grants, and modernizing federal technology to improve efficiency. One of the key proposals is the privatization of the postal service, transferring its operations to private companies.

Additionally, the department advocates for ending DEI (Diversity, Equity, and Inclusion) programs in education and making daylight saving time permanent, eliminating seasonal clock changes.

The final step in D.O.G.E.'s plan? Shutting itself down.

As it stands, the only advantage Dogecoin (DOGE) could gain from D.O.G.E. is name recognition—but even that no longer seems to have much impact, not even when mentioned by Musk himself.

However, if D.O.G.E. is officially approved by the U.S. Congress, and Musk’s initiatives gain support and deliver results, a positive reaction in DOGE’s price wouldn’t be entirely out of the question.

DOGE: Potential Growth Drivers

Dogecoin (DOGE) holds a strong position among meme coins and within the broader crypto market, providing it with stability and high recognition. This makes it an attractive option for new investors looking for well-known assets with growth potential.

Currently, DOGE ranks 6th among the largest cryptocurrencies (excluding stablecoins) by market capitalization. For comparison, BNB, which holds the 5th spot, has a market cap of $83 billion—nearly twice the size of DOGE. But more interestingly, a meme-based asset like DOGE has achieved a market cap of only half that of BNB, a fundamentally strong token.

Another potential catalyst for DOGE’s price growth could be the launch of a Dogecoin ETF. If approved, it would be the first-ever ETF for a meme coin, opening up new investment opportunities through traditional financial markets. This could attract a wave of new investors and significantly increase DOGE’s liquidity.

Related: Bitwise Files for Dogecoin ETF: A Step Closer to Approval

The final wild card for DOGE could be Elon Musk following through on his promise to integrate Dogecoin as a payment method within his companies, including X, Tesla, and SpaceX. News of this magnitude could drive a significant price surge.

And who knows—maybe one day, DOGE will finally reach $1.