Despite Shiba Inu’s skyrocketing burn rate, the coin’s price is having a tough time making significant gains. The cryptocurrency has been making repeated attempts to break into a bullish trend, but success remains elusive.
Despite Shiba Inu’s burn rate surging significantly, there’s an ongoing puzzle surrounding the coin’s price. While many other cryptocurrencies are thriving and experiencing consistent gains, Shiba Inu appears to be stuck in a downtrend.
It seems to be confined within a certain trading range, and although it has made some attempts to break out and surge in value, these efforts have been relatively short-lived. This situation has left both investors and traders wondering why Shiba Inu’s price isn’t growing more substantially.
Why Shiba Inu’s Price Struggles Despite Hype
The current downtrend of Shiba Inu’s price may be confusing to many, considering the coin’s enthusiastic community and its popularity on social media. However, despite the buzz surrounding it, SHIB’s price hasn’t been able to maintain significant upward momentum. There are several reasons for this:
1. Over-hype: Like many other meme coins, Shiba Inu may have initially surged in value due to a wave of hype. However, sustaining that rapid growth can be challenging once the initial excitement fades.
2. Market saturation: The cryptocurrency market is constantly flooded with new coins, leading to intense competition. With so many options available to investors, the attention that was once focused on coins like SHIB gets divided.
3. Speculative nature: Many investors approached SHIB as a speculative investment, hoping for quick profits rather than considering it a long-term investment. This approach is less popular now, as more investors focus on dominant assets like Bitcoin and other fundamentally strong cryptocurrencies.
Despite these factors, recent data shows that the SHIB burn rate has surged by 65.22%, with a significant amount of SHIB being burned in the last 24 hours. Coin burning involves removing tokens from circulation, creating scarcity and potentially boosting the price.
Important: Please note that this article is only meant to provide information and should not be taken as legal, tax, investment, financial, or any other type of advice.
Join Cryptos Headlines Community
Follow Cryptos Headlines on Google News