This is a very interesting symbol for it is geometric and associated with the Germanic peoples. Some information on this symbol is available in Walther Blachetta's Das Buch der Deutschen Zinnzeichen (1941):
"The Dragon's Eye is the symbol of the well-ordered, triple structure of the world and all beings and stands for - balance. Almost corporeal is this symbol to be perceived and shows then a three-dimensional, equal-sided pyramid, thus a structure of equal height, breadth and depth." (My translation)
Annoyingly Blachetta does not elaborate further in his book about this symbol and whilst Rudolf Koch includes this symbol in his The Book of Signs (1930) he gives no information whatsoever except that it is a symbol once used by the ancient Germanic peoples. Neither author gives any source for the symbol. It has been adopted as a logo for the American political group Identity Evropa (now known as the American Identity Movement) so clearly they must accept its ancient Germanic or European origins. Why Blachetta or Koch call this symbol the Dragon's Eye is anyone's guess! An inverted Dragon's Eye features on the coat of arms of Egg an der Guenz in Bavaria.
Due to the lack of information from scholarly sources on this symbol it is of course open to us to interpret it using our own ideas and best guess work. The symbol incorporates an Algiz or Elhaz rune, dividing the three triangles which together form an equilateral triangle. The Old English form of the rune name is Eolh, meaning elk. This gives the rune an element of 'protective force' (See Futhark. A Handbook of Rune Magic, Edred Thorsson, 1984). It is reasonable then to ascribe to this symbol a magical protective quality.
Regarding the symbol's actual rather than perceived origins I can offer no insight. Any of my readers who are able to add to this information are welcome to post a comment at the bottom of this article.