Shiba Inu price prediction: Can the meme coin build on recent gains?

 Nicole Willing 11:23, 27 September 2022 UTC • Updated

The Shiba Inu token (SHIB) is trying to regain its strength after hitting eight-month lows in mid-June amid the wider collapse in cryptocurrency prices, but recovery for now, seems fleeting.

The Shiba Inu ecosystem has launched a decentralised exchange (DEX) and a non-fungible token (NFT) incubator in recent months, in a bid to give the SHIB token some much-needed utility. Developers are also working on a layer-2 solution for the network to cut its dependence on the Ethereum network.

What is the future of Shiba Inu coin? Should you buy now to make gains in the future, or should you sell the coin short, attempting to profit from a further fall? In this article we look at the token’s recent performance and the latest Shiba Inu projections to help inform your trading strategy.

Origins: What is Shiba Inu?

Shiba Inu was launched in August 2020. The so-called meme coin is a play on the Dogecoin (DOGE) meme, which is itself a parody on the cryptocurrency space. Coins themed around the Shiba Inu dog breed gained popularity in 2021 as investors looked for the next multi-bagger crypto to invest in.  This year has proven extremely difficult but a recent move has seen large wallet investors on the Ethereum blockchain scoop up over 855 billion Shiba Inu tokens – frequently seen as a sign that a bullish trend is around the corner. 

Shiba Inu is built on the Ethereum (ETH) network and its native token SHIB is an ERC-20 token. 

According to its website, Shiba Inu initially had a supply of one quadrillion tokens. 50% of the total supply was locked in the Ethereum-based DEX Uniswap while the other half was sent to Ethereum co-founder Vitalik Buterinfor safekeeping”.

In July 2021, Buterin donated 50 trillion SHIB coins, which represented 5% of its total supply, to India’s Covid-19 relief fund. Buterin also sent 40% of Shiba Inu’s total supply to a “dead wallet”, which is also referred to as burning, according to Shiba Inu’s website. 

The project has evolved from the SHIB decentralised meme token into an ecosystem that incorporates the LEASH and BONE tokens. Shiba Inu’s network also boasts a DEX called ShibaSwap and an NFT incubator called the Shiba Incubator.

Shiba Inu has additionally set up a non-profit volunteer organisation called the Shiba Inu Rescue Association, which is dedicated to saving abandoned, neglected and abused Shiba Inu dogs.

Founder: The anonymous Ryoshi

Ryoshi is the founder of Shiba Inu. Like Bitcoin’s (BTC) pseudonymous founder Satoshi Nakamoto, Ryoshi has chosen to remain anonymous. Anonymity is not uncommon in the cryptocurrency sector. Many users are drawn to blockchain payment networks like Bitcoin as they promote decentralisation and privacy. 

As of 27 September 2022, it has been over a year since Ryoshi’s last blog on online publishing platform Medium. Ryoshi has also deleted all tweets and replies on Twitter.

One of Ryoshi’s last Medium posts, published on 30 May 2021, read: “I am not important, and one day I will be gone without notice. Take the SHIBA and journey upwards frens.”

Shytoshi Kusama, a lead Shiba Inu developer, wrote in a blog post celebrating the one-year anniversary of Ryoshi’s last Medium post:

“The ethos of Ryoshi to remain anonymous and have no input on the direction of Shib, makes our mythos even more mystic and impressive. We’ve built from nothing, never paid an exchange for a listing, and revolutionised ‘meme’ tokens by growing exponentially.”

Price action: Shiba Inu the ‘Dogecoin Killer’

On 10 May 2021, the Shiba token attracted the attention of investors after it spiked by 2,405% in three days to hit a peak of $0.000039. 

The rally was triggered by Tesla CEO and entrepreneur Elon Musk’s appearance on the Saturday Night Live television show. His appearance prompted a sell-off in DOGE as he referred to the cryptocurrency as a “hustle”, having talked it up in previous weeks.

SHIB struggled to regain ground over the summer of 2021. However, by autumn, the token spiked to an all-time high of $0.00008845 on 28 October 2021. 

SHIB gained momentum after Musk tweeted a photo of his Shiba Inu puppy in a Tesla on 4 October 2021, and on news of a potential listing on crypto exchange Robinhood.

However, with bearish sentiment taking over cryptocurrency markets in 2022, SHIB was unable to hold on to its gains at the turn of the year. 

As of 27 September SHIB/USD is trading at around $0.00001139, close to 90% below its all-time high. Shiba Inu’s all-time low stands at $0.000000000082, which was hit on 1 September 2020.

The token has recently showed some big gains, rising as much as 30% on 15 August, attributed both to buzz surrounding a new Shiba Inu-focused game called Shiba Eternity and the recent rise in the price of crypto giant Ethereum, which provides SHIB’s underlying blockchain. 

More momentum has been gained since whales appear to be accumilating SHIB – an indication of a bullish trend.

According to CoinMarketCapSHIB is ranked the 14th largest cryptocurrency in the world with a market capitalisation of $6.25bn on 27 September 2022. SHIB’s current circulating supply was about 549 trillion tokens.

Important Shiba Inu news 

While the Shiba Inu crypto token started out as a joke, the community is continuing to build the ecosystem. Here are some significant events in Shiba Inu’s recent timeline.

Outlook: What does the future hold for Shiba Inu?

Looking forward, lead Shiba Inu developer Shytoshi Kusama was upbeat on the future of the network. Kusama said that progress on Shiba Inu’s layer-2 network, called Shibarium, was on track and “moving as fast as we can”.

Shibarium will allow users to bypass expensive gas fees on the Ethereum network when using Shiba Inu-based decentralised applications.

Kusama announced the upcoming launch of a new Shiba Inu ecosystem token called TREAT, which will be used to as a reward token for its metaverse and games. Kusama also said a stablecoin called SHI is expected to be released at some point this year.

Shiba Inu price prediction for 2022 and beyond

As of 27 September, CoinCodex’s Shiba Inu coin price prediction indicated that the token is on a bearish trend in 2022, with a one-month SHIB price prediction which sees the token falling further by 3% to $ 0.00001107. However, the site makes more bullish long-term projections, with a Shiba Inu price prediction for 2025 between $ 0.00002524 and $ 0.000131 – the latter an increase of more than 1,000%

Algorithm-based website WalletInvestor makes a Shiba Inu crypto price prediction which expects the token to trade at an average price of $0.0000162 by the end of 2022,  and $0.000000495 in five years’ time, suggesting the token is a “bad long-term (one-year) investment”.

DigitalCoinPrice was bullish about SHIB’s price performance going forward. According to its Shiba Inu price prediction for 2030, DigitalCoinPrice expected the token to trade at an average price of $0.000158 that year.

Gov Capital’s SHIB price prediction, as of 27 September 2022, saw the token trading at $0.000393 in five years’ time.

Note that analysts’ and algorithm-based Shiba Inu crypto price predictions can be wrong and that forecasts shouldn’t be used as a substitute for your own research. Always conduct your own due diligence, and remember that your decision to trade or invest should depend on your risk tolerance, expertise in the market, portfolio size and investment goals. 

FAQs

Is Shiba Inu a good investment?

Shiba Inu is widely perceived as a meme coin, like Dogecoin, but is trying to reinvent itself by adding more features such as a decentralised exchange (DEX) and a non-fungible token (NFT) incubator to its ecosystem. Developers are also working on a layer-2 solution for the network to cut its dependence on the Ethereum network. 

As of 27 September, SHIB/USD is trading close to 90% below its all-time high, at a current price of about $0.00001139.

Always conduct your own due diligence and remember that your decision to trade or invest should depend on your risk tolerance, expertise in the market, portfolio size and investment goals. Cryptocurrencies are high-risk investments – particularly “meme coins” like Shiba Inu (SHIB).

Will Shiba Inu go up?

Whether SHIB has a future could depend on whether it finds a use that leads to widespread adoption and activity across cryptocurrency markets. With new coins being launched regularly, a rival meme coin could emerge and capture investors’ attention.

Should I invest in Shiba Inu?

Cryptocurrencies are high-risk investments, particularly “meme coins” like Shiba Inu (SHIB). Whether SHIB has a future could depend on whether it finds a use that leads to widespread adoption and activity across cryptocurrency markets. With new coins being launched regularly, a rival meme coin could emerge and capture investors’ attention.

Always conduct your own due diligence and remember that your decision to trade or invest should depend on your risk tolerance, expertise in the market, portfolio size and investment goals. 

Further reading

 

The difference between trading assets and CFDs
The main difference between CFD trading and trading assets, such as commodities and stocks, is that you don’t own the underlying asset when you trade on a CFD.
You can still benefit if the market moves in your favour, or make a loss if it moves against you. However, with traditional trading you enter a contract to exchange the legal ownership of the individual shares or the commodities for money, and you own this until you sell it again.
CFDs are leveraged products, which means that you only need to deposit a percentage of the full value of the CFD trade in order to open a position. But with traditional trading, you buy the assets for the full amount. In the UK, there is no stamp duty on CFD trading, but there is when you buy stocks, for example.
CFDs attract overnight costs to hold the trades (unless you use 1-1 leverage), which makes them more suited to short-term trading opportunities. Stocks and commodities are more normally bought and held for longer. You might also pay a broker commission or fees when buying and selling assets direct and you’d need somewhere to store them safely.

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