Custodia Bank CEO Caitlin Long is encouraging Elon Musk to take proactive steps regarding his ambitious proposal to reduce the U.S. federal budget by a staggering $2 trillion. This proposal was unveiled during a notable rally at Madison Square Garden in New York City, where Musk shared the stage with former President Donald Trump and other influential speakers. Following this announcement, the cryptocurrency market witnessed a notable uptick, with Dogecoin (DOGE) experiencing a 6% price surge, igniting optimism among enthusiasts that it might soon achieve the coveted $1 mark.
Musk’s Call for Budget Cuts
During the recent rally, Elon Musk passionately addressed the issue of rampant government spending. He criticized the current administration, claiming that approximately $6.5 trillion has been squandered under President Biden and Vice President Harris. Musk’s message was clear and resonant: “Your money is being wasted. We’re going to get the government off your back and out of your pocket.” This message struck a chord with many attendees, highlighting a widespread concern about fiscal responsibility.
Exploring the implications of such budget cuts, one might initially assume that reducing $2 trillion from the $6.5 trillion federal budget would necessitate substantial reductions in entitlement spending, such as Social Security and Medicare. However, Caitlin Long pointed out that such drastic cuts could potentially result in more than a 50% reduction in federal employees, underscoring the complexity and challenges of implementing Musk’s vision.
Adding an intriguing dimension to his proposal, Musk introduced the idea of establishing the “Department of Government Efficiency,” or DOGE, a playful nod to the popular cryptocurrency. This announcement has not only drawn attention to his fiscal agenda but also reignited interest in Dogecoin itself. In support of Musk’s vision, Donald Trump expressed his intention to appoint Musk to lead the DOGE initiative if re-elected as president.
Caitlin Long’s Suggestions
In response to Musk’s ambitious proposal, Caitlin Long weighed in with her thoughts on the potential focus areas for the DOGE initiative. In a series of tweets, she emphasized the importance of considering regulations that affect both federal employees and businesses. Long highlighted the significant regulatory pressures, describing them as “frightening,” and underscored the potential political implications for Democrats as they strive to maintain their Senate majority in the upcoming 2026 elections.
Long stressed the urgency for the Department of Government Efficiency to act swiftly, given the unfavorable Senate dynamics for the GOP in 2026. She asserted that for the DOGE team to enact lasting change, it would need to move expeditiously to prevent future reversals by subsequent administrations.
Moreover, Long expressed concerns about the potential economic repercussions of the proposed spending cuts, cautioning against economic stagnation. She criticized the government’s approach, noting that it is mistakenly assessing the impact of increased spending relative to GDP. According to Long, this metric is flawed, and the government needs to provide a clearer explanation for their fiscal strategy.
Dogecoin’s Price Movement
Amidst these discussions, Dogecoin has experienced a notable surge in its price, rising by over 6% in the past 24 hours and currently trading at $0.15. The cryptocurrency market is observing Dogecoin’s strong support levels while it tests resistance at $0.165. A breakthrough above this resistance could potentially open the door to higher price targets, further fueling enthusiasm within the crypto community.
Many crypto enthusiasts are optimistic that Dogecoin could achieve the $1 milestone, especially in the wake of Trump’s potential return to the presidency. Market data reflects mixed signals, with a 9.65% decline in open interest and a 24.2% increase in trading volume. These fluctuations indicate that market participants are actively repositioning themselves, suggesting a dynamic and evolving market landscape.
