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Elon Musk’s favorite cryptocurrency, Dogecoin (DOGE), could be on the verge of a massive parabolic rally following the recent victory of Republican U.S. presidential candidate Donald Trump. Could Trump’s Victory Catapult Dogecoin To $23? Earlier today, Trump was elected the 47th US president with a convincing win over Democratic presidential candidate Kamala Harris. Following Trump’s victory, Bitcoin (BTC) surged past its all-time high (ATH) of $73,737, reaching unprecedented levels. Related Reading: Dogecoin (DOGE) Sets Sights on $0.150: Will The Rally Take Off? While BTC is trading at new highs, the ripple effect of a Trump victory is expected to impact other digital currencies, especially Musk’s preferred Dogecoin.  According to crypto technical analyst Ali Martinez’s analysis, DOGE is nearing a breakthrough at the 0.50 Fibonacci retracement level, potentially leading to a rally up to the 1.618 or even the 2.272 Fibonacci extension levels. For the uninitiated, Fibonacci extensions are used in technical analysis to project possible future price targets by identifying key support and resistance levels. Historically, DOGE has frequently aligned with Fibonacci extension levels during bull runs. According to Martinez, if DOGE follows a similar trajectory in the next bull run, it could surge to anywhere between $4 and $23. The chart below illustrates that the next significant Fibonacci extension level for DOGE is 1.00, placing its price just above $0.739, beyond its current ATH of $0.7316, set in May 2021. Currently, DOGE is trading at $0.202, having risen an impressive 18% in the past 24 hours, largely fueled by Trump’s victory. If DOGE reaches the 1.618 Fibonacci extension level, its price could jump to $3.94 – more than five times its current ATH.  Under extremely bullish conditions, DOGE could even hit the 2.272 Fibonacci extension level, pushing its price to $23.25 – nearly a 100x increase from its present value. The Potential Impact Of Elon Musk In Trump’s Cabinet While Musk’s potential role in Trump’s cabinet remains unclear, the world’s richest man will likely hold significant influence during Trump’s term as president. Related Reading: Dogecoin Rockets Up 12%, But This FOMO Signal Could End Rally Musk has frequently voiced his support for DOGE on social media platform X, often triggering short-term price surges driven by retail investor interest.  With Musk’s possible influence in the new administration, it wouldn’t be surprising to see policy decisions that could indirectly benefit cryptocurrencies like Dogecoin. Data shows that DOGE whales may anticipate a significant price surge, as recent transactions indicate the accumulation of more than 2.1 billion tokens over the past week. That said, DOGE investors should exercise caution as the token has already experienced a substantial run-up recently and may be flashing overbought signals. At press time, BTC is trading at $74,249, up 8% in the last 24 hours. Featured image from Unsplash, Charts from X and Tradingview.com