Shiba Inu is among the coins that have motivated more people to venture into crypto investing. The unprecedented growth of the coin in 2021, which saw its price increase by 500,000%, has prompted most people to invest in it. Even early investors who only had a tenth of a dollar worth of SHIB tokens became very wealthy from this coin.
However, the coin has steadily declined over the past five months. Thus, cryptocurrency experts see no signs of the coin rising. This is why most people think this is the end of the Shiba Inu’s golden age. But, that begs the question. What happened to the cryptocurrency that had the fastest growing rate in 2021 but is now losing value?
In any case, the decline in Shiba Inu prices is likely due to a significant number of different factors. The first factor is that it does not provide enough utility. The second aspect is the growing number of crypto initiatives competing with each other.
How many years does SHIB still have?
According to the predictions of different experts, the Shiba Inu will disappear from the market before the year 2030. There is no booster for SHIB like the Dogecoin with Elon Musk. Besides, a multi-millionaire is unlikely to emerge to increase their value with a single tweet.
Matthew Harry of DigitalX Asset Management says SHIB’s future is by no means stable. Harry predicts that the price of a Shiba Inu will hit $0.0001 by the end of 2022, then disappear completely over the next three years.
This market is growing and as a result products like the SHIB will die as capital begins to shift to quality and value. Mathew Harry
Still, Mathew Harry isn’t the only person to be pessimistic about SHIB’s prospects. The head of Swinburne University of Technology believes the Shiba Inu has no lasting utility.
According to the prediction of Salmpasis, all these joke type currencies will evaporate. Thus, the way will be clear for “real innovation” and “crypto assets that can serve suitable use cases“.
Since Shiba is a meme currency, the elites are not very optimistic about its potential in the future. They believe this coin will approach zero in value over the long term since it will not be able to yield the proper utility.
Cryptocurrency market cycle
One method to estimate the size of the cryptocurrency market is to look at bitcoin relative to other tokens. The term “altcoin season” refers to the time of year when altcoins perform better than bitcoin. The altcoin season is not underway. Thus, bitcoin outperforms at least 75% of the top 50 cryptocurrencies.
November 2021 was another month where the cryptocurrency market reached an all-time high. During this period, cryptocurrencies like Bitcoin and Ethereum reached their all-time high prices. Yet, since 2022, these cryptos have been trading at significantly lower prices. Even though the cryptocurrency market is not yet a long-term bearish one wonders when the market trends will reverse.
In most cases, ETH and BTC influence the prices of many cryptocurrencies. Therefore, many people are waiting intently to see which way these prices will move in the next few weeks.
Is 2022 no longer the year of meme currencies?
Traders are right to wonder if the meme currencies are dead now that the Shiba Inu craze has faded. The short answer is yes (compared to 2021), but the broader answer is no.
The rise of internet groups, fiscal stimulus, and COVID-19 have prompted both experienced and novice investors to try their luck with the memecoins in 2021.
Yet all of these will be toned down or eliminated in 2022, so don’t expect SHIB and others to have the same level of success as in 2021.
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