This meme token is attracting lots of fresh capital, although it's still well off its all-time high.
After a tumultuous 2022 that saw crypto asset prices tank, the cryptocurrency market has come roaring back in the last 14 months. With this favorable backdrop in mind, it's not surprising that some of the most speculative tokens are on the way up.
Look at dog-themed meme token Shiba Inu (SHIB -0.47%). Yes, it remains 64% off its peak price from October 2021. But as of March 13, the digital asset has skyrocketed 238% in just the last month.
Given this powerful momentum, perhaps supporters are hoping there are better days ahead. Is Shiba Inu a top cryptocurrency to buy right now?
Quickly rising
Shiba Inu's rise coincides with the ascent of its inspiration, Dogecoin, which has more than doubled in the past month. Another more under-the-radar token, called PEPE, which isn't even one year old, has soared by a whopping 700% in the period.
While it's impossible to know exactly what is causing these price spikes, we can point to a factor that is perhaps adding to buyers' excitement: the monster success of the new spot Bitcoin exchange-traded funds (ETFs). Regulatory approval of these highly anticipated financial instruments lends a certain level of legitimacy to the entire asset class. Maybe investors are hoping for more crypto ETF approvals to happen.
Because Shiba Inu is viewed as one of the most speculative cryptocurrencies out there, it makes sense that its price can surge rapidly. Once early buyers get in, the price increase attracts more attention, creating a positive feedback loop. This momentum can be a powerful force, until it unpredictably ends.
Practice caution
As mentioned, Shiba Inu is still substantially off its peak price. This setup could be extremely enticing for risk-seeking investors. However, I believe it would be a mistake to buy this token.
Being built on top of the Ethereum blockchain should, in theory, add a lot more functionality in terms of decentralized applications, like non-fungible tokens and decentralized finance protocols. However, Shiba Inu hasn't really gained much adoption. And it doesn't have an extensive developer network working to advance its utility. This doesn't bode well for Shiba Inu's future.
In other words, there are no compelling reasons to want to own this token except for the hope that it can continue rising in price in short speculative spurts. This is what's called gambling, as the buy thesis is not based on the asset's fundamentals, nor on logical thinking.
Better options
Investors looking to allocate a portion of their portfolio to the crypto space have better options to choose from. The fact that Shiba Inu was developed on the Ethereum blockchain points to the latter's standing in the industry.
Ethereum was the first blockchain network with functionality for smart contracts, a feature that adds the possibility for much greater use cases over time. Ethereum has a huge developer network and a pipeline of planned technical upgrades that give it a higher chance of long-term success than Shiba Inu.
There's also Bitcoin. The world's most valuable cryptocurrency by market cap has climbed 330% since the start of 2023. But it could have more room to run as larger and larger amounts of institutional capital flow into it. And because of its decentralized nature and its fixed lifetime supply cap of 21 million coins, many market participants view it as a new-age store of value.
It's best to forget about Shiba Inu. The meme token is having its 15 minutes of fame. But it's not a smart place to park your hard-earned savings.
Neil Patel and his clients have no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Bitcoin and Ethereum. The Motley Fool has a disclosure policy.
FAQs
Yes, it remains 64% off its peak price from October 2021. But as of March 13, the digital asset has skyrocketed 238% in just the last month. Given this powerful momentum, perhaps supporters are hoping there are better days ahead.
Is it good to buy Shiba Inu now? ›
Is Shiba Inu a Risky Investment? It may appear valuable given its market cap, but it's worth is purely speculative. Keeping this in mind, it is not a good idea to put too much money into shib. Shiba inu cryptocurrency can help you make a quick buck, but it is not a long-term investment.
Can a Shiba Inu skyrocket? ›
At that nearly $6 trillion market cap, Shiba Inu would be more valuable than Microsoft and Apple combined. That seems totally unreasonable. Even though Shiba Inu isn't likely to soar 34,000-fold over the next six or so years to reach $0.01, it doesn't mean some investors aren't still interested in owning it.
Is the price of Shiba Inu skyrocketing? ›
How Shiba Inu's (SHIB) Price Could Skyrocket 600% According to Crypto Analysts. Shiba Inu's price prediction shows a potential 600% increase, sparking investor excitement and interest. After breaking key resistance, SHIB surged 370% in December 2023, peaking in March 2024.
What crypto does Motley Fool recommend? ›
Anders Bylund has positions in Bitcoin, Cardano, Coinbase Global, Ethereum, and Nvidia. The Motley Fool has positions in and recommends Advanced Micro Devices, Bitcoin, Block, Cardano, Coinbase Global, Ethereum, Mastercard, Meta Platforms, Nvidia, PayPal, Shopify, and Visa.
Is it a good investment to buy Shiba Inu? ›
Key Points. The riskiest assets are rising in the current favorable market environment. Shiba Inu will struggle to introduce utility and gain broad adoption. Even though Shiba Inu trades well below its peak price, investors should avoid it like the plague.
Which coin will reach $1 in 2024? ›
Conclusion. In the dynamic landscape of cryptocurrency, these ten coins, including TRON, Shiba Inu, Astar, Kaspa, Dogecoin, Stellar, Kava, Polygon, Cronos, and VeChain, present diverse potentials for reaching the $1 milestone in 2024.
What if you invested $1000 in Shiba Inu? ›
If you had invested $1,000 in Shiba Inu crypto on Aug. 2, 2020, and sold it on Apr. 27, 2024, you would've reaped a profit of more than $24 million. In fact, a mere $10 would have given you a profit of over $240,000.
How much to invest in Shiba Inu to become a millionaire? ›
To have $1 million worth of SHIB at $0.0007, you will need about 1,428,571,428.57 (1.42 Billion) tokens. The price of 1.42 billion SHIB right now is around $35,714.28. Therefore, you could become a millionaire with Shiba Inu (SHIB) by 2030 if you invest $35,714.28 in 2024.
What's the highest Shiba Inu can go? ›
With this in mind, our Shiba Inu price prediction estimates a bull market peak price of around $0.000150, with potential lows of $0.000030 and an average price of $0.000080 by the end of 2025.
Rollblock (RBLK) is becoming one of the most prominent altcoins. Thanks to its long-term growth potential, this stage 1 presale star has the potential to compete with huge coins such as Solana (SOL), Avalanche (AVAX) and Binance Coin (BNB). In fact, certain analysts peg this rookie as the next 1000x altcoin in 2024.
Which crypto can give 1000x in 2024? ›
The Next 1000x Crypto: 12 Potential Contenders
- PlayDoge – Doge-inspired P2E game with the potential to be next viral 1000x crypto.
- WienerAI – Trending AI-based meme token with potential for 1000x growth. ...
- Base Dawgz – New meme coin built on Base, offers multi-chain compatibility and social airdrops.
Bitcoin:
With institutional adoption on the rise and growing mainstream acceptance, Bitcoin remains a staple in any crypto portfolio. As a store of value and hedge against inflation, Bitcoin's scarcity and deflationary nature make it a compelling long-term investment for millionaire hopefuls.
Is Shiba Inu going to go up? ›
As long as it continues to enjoy celebrity endorsem*nts and remains a topic of discussion, there's potential for price surges. “Another factor potentially contributing to Shiba Inu's price increase is the recent setting of all-time highs by bitcoin, the largest cryptocurrency,” Drozdz adds.
Will Shiba Inu coin reach 10 cents? ›
While the asset isn't far from reaching its all-time high, it is still a long way from the 1-cent mark. Data from Telegaon suggests that SHIB might achieve its dream price target sometime around 2040. While this is more than a decade away, it looks like hitting the 10-cent mark will take longer.
Will Shiba Inu coin reach 50 cents? ›
Telegaon has predicted that Shiba Inu could reach the 50-cent price target sometime in the year 2040. That's another 16 years from today and is considered a long-term investment. The forecast also estimates that SHIB could even touch a new high of 89 Cents in the same year.
Which crypto will explode in 2024? ›
Our list of the next big crypto coins to explode in 2024 (x100 Bull Run) : EarthMeta ($EMT) – AI-driven Metaverse platform for decentralized governance and digital real estate. Folki ($FOLKI) – Meme coin integrating with the metaverse.
