Elon Musk’s latest post on X has the Dogecoin (DOGE) community in a frenzy once again. In a post on X today, the billionaire entrepreneur shared an AI-generated image depicting himself as an executive in the whimsically named “Department of Government Efficiency,” cleverly abbreviated as DOGE. The image was accompanied by Musk’s message “I am willing to serve,” which not only played on his humorous public persona but also reignited interest in Dogecoin, leading to a 5% price increase to $0.105.

Musk Rediscovers His Love for Dogecoin Memes

The post marks Musk’s return to making public comments about Dogecoin after a period of relative silence, bringing renewed energy among investors and enthusiasts who see Musk as a key proponent of the meme cryptocurrency. The post was a response to popular DOGE community member “Sir Doge of the Coin” who joked that Musk should be named the “Department of Government Efficiency,” or DOGE for short. Musk responded by calling it a “perfect name.”

I am willing to serve photo.twitter.com/BJhGbcA2e0

— Elon Musk (@elonmusk) August 20, 2024

Despite the general upward trend in the broader cryptocurrency market, Musk’s specific mention of Dogecoin caused immediate excitement, contributing to the price increase. This move is modest, given the historical context in which Musk’s tweets have previously led to substantial market reactions.

The impact of Musk’s tweets on Dogecoin is a notable phenomenon in the crypto space. For example, when Musk completed his takeover of Twitter in October 2022, the price of Dogecoin increased by over 70%. Another notable example was in April 2023, when he changed the X logo to feature Kabosu, the Shiba Inu dog that is the face of the Dogecoin logo, causing the price of Dogecoin to increase by over 30%. However, today’s market reaction, while positive, was relatively modest.

Will Musk serve under Trump?

Musk’s post follows the controversial interview with US presidential candidate Donald Trump, in which government efficiency was one of the topics. After the acquisition of Twitter, Musk laid off more than 6,000 people, about 80%, after taking over the company.

Moreover, the post was fueled by a recent interview with Reuters in which Trump offered the billionaire a government job if he were re-elected. “He’s a very smart guy,” Trump said in an interview with Reuters. “I would definitely do it, if he would do it, I would definitely do it. He’s a brilliant guy.”

Both Trump and Musk have significant influence in the Bitcoin and crypto community. While Trump has promised to create a “strategic national Bitcoin reserve” containing all coins seized by the U.S. government, promised to fire SEC Chairman Gary Gensler on day one and pardon Silk Road founder and BTC pioneer Ross Ulbricht, Musk is known for his fondness for Dogecoin.

Notably, Trump reaffirmed his pro-crypto stance during his final campaign appearance: “To move our country into the future, including the growing demand for electricity from AI and cryptocurrencies — an issue that is becoming increasingly important — we need to stay ahead of the curve. If we don’t, China and other countries will lead the way in both AI and crypto.”

At the time of going to press, DOGE was trading at $0.10506.

Main image from Axios, chart from TradingView.com