Dogecoin price jumps 13% in minutes on official US DOGE website launch

Dogecoin Soars Following Launch of Government Website

Dogecoin (DOGE) experienced a surge of 13% in a mere 15 minutes after the official website launch of the U.S. Department of Government Efficiency (DOGE). This announcement broke DOGE's short-term downtrend.

DOGE's Price Driven by Government Agency's Logo

The increase in DOGE's value can be attributed to developments surrounding the Elon Musk-led Department of Government Efficiency (DOGE). This agency, established to reduce government spending and regulations, unveiled its official website on January 21.

The website prominently displays the Dogecoin logo at its center. The .gov website, which identifies itself as the official website of the U.S. government, also features the agency's name, a dollar sign, and the slogan: "The people voted for major reform."

Government Endorsement Boosts Dogecoin's Legitimacy

President Trump, in his inaugural speech, announced the creation of the Department of Government Efficiency to enhance the competence and effectiveness of the federal government. Following the inauguration ceremony, he issued an executive order officially establishing the department.

Before the website launch, DOGE's price had declined by as much as 10%. However, a U-turn ensued, resulting in a price increase of up to 20% from an intra-day low of $0.33 on January 15 to a swing high of $0.40.

Social Media Amplifies Viral Spread

The use of the Dogecoin logo on a government platform, even humorously, has further legitimized the cryptocurrency. Social media users expressed surprise and amusement, contributing to the viral spread of the news.

Dogecoin's Technical Indicators Point to Upside Potential

Dogecoin has been a target of speculative trading since November 2024. The price action and technical setup indicate significant upward movement from current levels.

A bull flag pattern, a bullish continuation setup, is forming. A breakout above the upper trendline of the flag at $0.37 could trigger a substantial upward move. The potential upper target for DOGE is $1.61, representing a 340% price gain.

The weekly relative strength index (RSI) remains in the positive region, indicating favorable market conditions for DOGE.

Disclaimer

This article does not constitute investment advice. Cryptocurrency trading involves risk. Conduct your own research before making any investment decisions.