The Shiba Inu cryptocurrency has seen a decline in its valuation, mirroring the waning interest in the meme coin that once enjoyed widespread popularity. The **SHIB** token’s value plummeted to $0.000017, marking its lowest level since March and representing a drop of over 60% from its peak value this year.
In comparison to its counterpart, Dogecoin, Shiba Inu has not kept pace with the meme coin sector in the current year, as market participants have shifted their attention to emerging tokens. This trend is evident when examining the trading volumes on both centralized and decentralized exchanges. According to **CoinGecko**, Shiba Inu’s trading volume over the past day exceeded $297 million, whereas Dogecoin’s volume reached $635 million.
Contrastingly, Pepe, a token with a significantly smaller market capitalization than both Shiba Inu and Dogecoin, saw trading volumes surpass $1 billion within the same timeframe. Additionally, Shiba Inu’s trading volume was outstripped by other tokens such as dogwifhat (WIF), Floki, and Bonk, which recorded volumes of $776 million, $301 million, and $288 million, respectively.
This shift in trader focus towards newer tokens, perceived to have greater potential for growth, is indicative of the market’s current dynamics. Other meme coins that have garnered attention include Turbo, MAGA Hat, and Book of Meme.
Shiba Inu’s market performance has also been lackluster due to the tepid response to **Shibarium**, its newly introduced layer-2 network. Shibarium has only managed to attract a modest number of 14 DeFi developers, with its Total Value Locked (TVL) standing at a mere $1.69 million. In stark contrast, other recently launched layer-2 networks such as Blast, Sui, and Base have succeeded in securing assets amounting to billions.
From a technical analysis standpoint, Shiba Inu’s prospects appear bleak. The token has dipped below $0.00001838, its previous low on April 13th, and is currently positioned at the lower boundary of a descending triangle pattern. Furthermore, Shiba Inu has fallen beneath both the 50-day and 200-day moving averages. A continued decline could lead to these averages intersecting, resulting in a ‘death cross’—a highly unfavorable market indicator.
A resurgence in Shiba Inu’s value is contingent upon a broader recovery within the cryptocurrency sector, akin to the rally observed in March when Bitcoin soared to record highs. Such a rebound would likely benefit SHIB and other alternative coins.
An additional factor that could potentially invigorate Shiba Inu’s market presence is the filing for a spot SHIB Exchange-Traded Fund (ETF). This scenario could materialize if the U.S. Securities and Exchange Commission (SEC) grants approval for ETFs based on Ethereum and Solana.