Despite Elon Musk Stepping Away from DOGE to Focus on Tesla, Speculation Remains Rife that the Dogecoin Meme Coin Can Still Find Its Place Within the US Government.

According to data from the National Treasury, the US debt stands at a staggering $36 trillion, having grown by more than $400% in four years.

Dogecoin price can surge to $24 to cover 1% of the US debt, which is $3.6 trillion. At this price, the meme coin will be two times bigger than Bitcoin and almost equal the entire crypto market.

For the past four years, the US national debt has been steadily increasing, and by June 2023, it reached $36 trillion. This is a 330% rise from 2019, when the debt was $8.8 trillion.

During these four years, Dogecoin stock price has also soared by over 340%, with its market cap also rising by more than 5 times.

This shows that the meme coin’s price is growing at a higher rate than the US national debt. Hence, by looking at Dogecoin’s historical performance, the stock price can surge to a point where it can entirely cover the growing debt burden.

At the same time, US legislators such as Wyoming Senator Cynthia Lummis are already championing a crypto solution to the debt menace. This further increases the likelihood of Dogecoin stepping in to solve this problem.

How High Will Dogecoin Stock Price Surge?

Let’s explore three scenarios on how high the Dogecoin price would have to surge if used to cover US debt. In each scenario, we assume Dogecoin’s inflationary supply remains at 149 billion.

Scenario 1: DOGE Covers Entire $36 Trillion US Debt

If Dogecoin covers the entire $36 trillion US debt, the stock price would be $240, assuming the supply remains at 149 billion coins. At this price, Dogecoin would be worth three times more than the entire global tech sector.

Scenario 2: DOGE Covers 50% of 36 Trillion US Debt

If the US government uses Dogecoin to cover only half of the US debt, which is $18 trillion, the stock price will be $120, with a 149 billion token supply. This is again unrealistic, as it is half the entire US GDP.

Scenario 3: DOGE Covers 1% of 36 Trillion US Debt

In the third scenario, which is also the most plausible, we assume that the top meme coin is used to cover only 1% of the debt, which is only $3.6 trillion. This is possible considering that Dogecoin stock price will be at $24.

With a $3.6 trillion market cap, Dogecoin would be two times bigger than Bitcoin and almost equal the entire crypto market.

Are These Price Targets Realistic?

Firstly, the notion of Dogecoin being picked to cover the US national debt is far-fetched, considering that meme coins are known for being highly volatile. Hence, this scenario remains highly speculative.

Moreover, two of the price targets realized with the above calculations – $240 and $120 – are not realistic due to the massive market cap that this would give Dogecoin stock.

The most realistic target out of the above scenarios is $24, which will push DOGE to a $3.6 trillion market cap. However, this would mean that Dogecoin outperforms Bitcoin and the entire crypto market.

Key Factors that Will Influence Dogecoin’s Price Performance

Considering these key factors, Dogecoin price remains on a bullish path, whether or not the US government picks it to solve the debt crisis. However, if Dogecoin gains utility in such a role, it would increase its legitimacy and hype, and this may see it outperform the broader crypto market.