Cryptocurrencies have stormed the world. While Dogecoin and Shiba Inu coins top the charts again, other cryptocurrencies like Wazirx, Coinbase, Binance, Birmart, Coinmarketcap, etc. have also shaken up the financial world.
Shiba Inu coins are comparatively newer tokens. For example, Coingecko revealed that its price has consistently gone up 166% in the last one week and a whopping 95% over the past 30 days.
It is one of the most economical virtual currencies, priced at $0.00007352 per coin. So, wouldn’t you want to go with the wind, given its growing popularity and affordability?
Shiba Inu has surpassed dogecoin and made it to the top 10 cryptocurrencies, followed by two more cryptos that Shiba Inu inspire have their names in the list.
As per CoinGecko, dogecoin ranked at no 10 with a market value of over $35 billion as of November 1. Who would have imagined crypto launched as a joke in 2913 would be highly-priced in the year 2021. Currently, it is trading 27%. Shiba Inu tokens were established in 2020 and rank at no 9 with a market value slightly higher than dogecoin i. e. $38 billion. Relatively newer, the cryptocurrency has hit a record-breaking high of $0.00008616 on November 4, 2021.
Shiba Inu has emerged as a dog killer, and since November 3, both Shiba Inu and dogecoin have been into a tight spot, fighting closely for top ranking, frequently swapping each other.
However, both DNA is the same, as Shiba Inu and dogecoin are community-based, whether the creators admit to the fact or not.
Is Shiba Inu a good investment?
It’s critical to factor in the rate of return on your investment and capacity to yield you profits in the long run. Avoid falling into the trap of making fast money and may even end up investing in a hot cake, making you richer overnight. However, such investments are precarious.
Investing in crypto is a bit tricky as no one can take full guarantee of the outcome. There’s no surety of it being around in the next 5-10 years or whether its value will continue to go up So, if your risk appetite is good, only then consider investing in cryptocurrencies.
Shiba Inu, in particular, is a bit riskier as it was formulated with a parody of dogecoin, which in turn was a tweaked form of Bitcoins. Thanks to the retail investors who are investing in it taggressively to drive the sales of Shiba Inu and its surging popularity is a result of their joint efforts. The investors have earned a quick buck.
Additionally, the investors are creating a need to buy Shiba Inu and pushing Robinhood Markets for the availability of tokens. This has also garnered Media’s attention, which is why more investors are coming forward to buy Shiba Inu tokens. That has led to a further increase in the cryptocurrencies’ value.
There’s a dim chance that Shiba Inu may thrive in the long run, given the demand created for it artificially. So, for now, it doesn’t seem to be a wise decision to invest in this crypto unless you are not risk-aversive.
So, the question now is where to invest?
Do consider the following factors before making any investment:
The first step is to know investments’ underlying fundamentals. Consider things like the financial situation, the company’s leadership team, and competitive benefits in the industry. The healthier the company, the better chance it has of considerably growing over a while.
You should consider the factors for cryptocurrency, such as the potential for real-world utility, and evaluate any powers over the competitors. As all the cryptocurrencies are still questionable at present, currencies that are the most robust fundamentals are the ones that have greater chances of succeeding for a long time.
Make sure to buy investments only that you can hold for a couple of years at least. Investment strategies are not quick schemes, and the ones that achieve well over a while are the best investments. Warren Buffett said, “if you are not inclined to acquire stock for ten years, forget about owning it for even 10 minutes”.
Shiba Inu is a lucrative investment due to its earnings, but at the same time, it is crucial to stay focused on the future. Investments with the potential to make a lot of money are a dangerous gamble, and many options are more suitable for the portfolio.
Its weakness is its strength
Shiba Inu, which mimics Altcoins, is a community-based cryptocurrency. So, primarily its success lies in the growth of its community. The performance of the Shiba tokens is driven mainly by its highly enthusiastic supporters, including Elon Musk: the founder of SpaceX and the current CEO of Tesla. Often tweeting about various cryptocurrencies, Elon has invariably impacted their prices, amplifying the success of the crypto.
In a nutshell, the current surge is driven by community-led tokens or coins, and anyone investing in them is like an amplifier motivating others to jump into it.
The risk factor
These tokens are so susceptible to fluctuations and volatility, given that their vouching for them makes it a tricky investment call. As a result, Shiba Inu is a speculative bet, and these tokens may not be a horse in the long run. Moreover, all these speculations are based on a community and not a specific technology making Shiba Inu less viable.
Shiba Inu shares the same DNA as dogecoins, and dogecoin’s success is not hidden from everyone. Look how far it has come since its incorporation days in 2013. It’s been a journey of 8 successful years.
Investing in cryptocurrencies may mean losing everything you have. So, support your risk-taking appetite so that even if you lose, you can bear with it. However, altcoins are all riskier, and investors still put their stake in them. Altcoins structure, supply, and utility are not the same as Bitcoins, yet it is successful.
Bitcoin came into existence in the year 2009 to become parallel to the existing financial system. Bitcoin uses decentralized crypto, making it limited for supply. Only a few investors hold Bitcoin tokens. Shiba Inu and altcoins are primarily dependent on their local community for driving them. Their communities are their strength, but technological advancements and a lack of supply cap are their biggest road blocker.
The fate of Shiba Inu lies in the number of people adopting it, and its viability in the current financial system entirely depends on a wider community. Today, it may not seem to be a wise decision to invest in Shiba Inu coins if you are not prepared for it.
Concluding Thoughts on Shiba Inu
Should you be investing in Shiba Inu coins right now: This is a question that could be haunting you off late. Shiba Inu is relatively a newer token with a current value of $38 billion as of November 1. Looking at the success of the currency within just one year of its incorporation is incredible. However, it is primarily a community-driven cryptocurrency. So, be very thoughtful while putting your money into it right now, as the success of Shiba Inu coins depends on its community’s success.