Shiba Inu - SHIBA
Updated: Jun 21
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What is Shiba Inu (SHIBA) and how does it work?
Shiba Inu (SHIB) is a decentralized cryptocurrency known as a meme coin. Created in August 2020, and named after the popular Japanese dog breed Shiba Inu, similarly to competitor Dogecoin, Shiba was dubbed the 'Dogecoin Killer' and gained popularity as notorious crypto community members such as Vitalik Buterin and Elon Musk were known to have holdings in the crypto or to promote it online. Shiba was created anonymously by "Ryoshi." Whilst it's still not clear what the identity of this individual is, Ryoshi said uncovering his identity is not important to the development of the project.
Shiba aims to be the Ethereum-based counterpart to Dogecoin's crypto-based mining algorithm. Shiba coin is part of a group of dog-themed coin cryptocurrencies, such as Baby Dogecoin (BabyDoge), Dogecoin (DOGE), and JINDO INU (JIND), Alaska Inu (LAS) and many more. What made the Shiba coin gain even more popularity was the fact that Vitalik Buterin donated more than 50 trillion SHIB (worth over $1 billion at the time) to the India COVID-Crypto Relief Fund, as well as the listing on Coinbase in 2021. This move saw the coin grow noticeably in the following months and gain over 240% in just a week in October, in a period where many other cryptocurrencies such as Bitcoin were also going on a run. Following this surge Shiba Inu's price cooled off and slowly dropped, losing over 55% from all-time highs.
During its surge, WhaleStats compiled data of the largest ETH wallets and found that SHIB represents over 20% of the combined market shares of all ERC-20 tokens held by Ethereum whales. This led to many retailers wanting to adopt Shiba, as a crypto payments platform BitPay to unlock payments in SHIB. A main reason for the surge was also the continued effort by the SHIB community to build a utility for the Shiba coin and the subsequent emergence of an entire Shiba Inu ecosystem.
However, there have also been concerns over the years surrounding this coin, as many described the project as a money grab or a pump and dump scheme, mainly due to its surge in prices followed by steep drop or corrections. Additionally, many expressed concern about the concentration of the coin with a few "whale" wallets controlling billions of dollars worth of the token and the frenzied buying by retail investors motivated by fear of missing out (FOMO). All of these factors have led to drops in Shiba price dropping noticeably over the past few months, resulting in an extended bear market.
Last update 24/5/2022
Shiba coin was originally listed on Binance in May 2020 at around $0.000014, and saw an initial price increase. However, this move was short-lived and followed by a correction that saw the price drop to around $0.000006, where it would stabilize until the September of the same year. By then, SHIB saw its biggest price surge, fuelled by an increasing online community and celebrities such as Elon Musk and Vitalik Buterin showing support for the project, reaching an all-time high price of $0.000080, or over 460% from its original listing price.
Unfortunately, this move was followed by a slow and steady decline in Shiba price, with an initial drop to $0.000037, followed by a subsequent one all the way to the support at $0.000018. Ever since Shiba has fallen even lower and is currently flirting with the price at which it was originally listed. It currently doesn't look like the crypto has stabilized and could potentially fall even lower, with the $0.000006 being a likely range due to its historical significance.
Shiba price prediction suggests an outlook for the coin which is still quite bearish, suggesting that further drops are likely to occur until the coin stabilizes above a significant support level. If SHIB manages to regain some momentum and climb back above the $0.000018 a change in trend would be more likely.