One of the most popular meme tokens, the Shiba Inu (CRYPTO: SHIB), has grown in the Bible this year. In fact, SHIB more than doubled last month, with 6 in the last 3 months.
This kind of excessive interest in a particular cryptocurrency is not uncommon. Over the last few years, investors have noted different parabolic movements in different cryptocurrencies. However, it is one of the most impressive things that the Shiba Inu gained a bad reputation in such a short period of time.
The token opened for $400 million (i.e., nine zeros) last August. At the time of this writing, investors can purchase SHIB tokens for as little as 0.00005 BTC (only four zeros). Let’s find out how this coin was able to delete so many zeros so swiftly. SHIB tokens’ token dynamism is the only reason investors should acquire a SHIB token.
Elon Musk’s Influence
First, Elon Musk happens to be a fan. There is no doubt that different celebrities can affect cryptocurrencies. In fact, the whole movement of this cryptocurrency depends on the atmosphere of the social media space. It is important for investors considering Shiba Inu and meme tokens to evaluate the market atmosphere at any time.
Last month, Shiba Inu reported how he got a lot of support from the CEO of crypto-tweet, Elon Musk. The Shiba Inu observed a significant increase in investor interest almost immediately after the photo of his dog, Floki Frank, was uploaded. The surge has continued since then, pushing SHIB tokens to record highs ahead of the most recent market selloff we saw this week. Musk does not own SHIB. However, the support for this token through his tweets was sufficient for speculators.
One might argue that the fact that Elon Musk has a Shiba Inu is about the same as what Elon Musk ate for breakfast that morning. But for crypto investors, this type of free advertising and mood pump is what drives these tokens. As long as the heading hits, the connection doesn’t necessarily have to make sense. If this token regains speculative dynamics, investors will place all bets at the height of the SHIB or any meme token.
Second, SHIB is an ERC-20 token. Some buyers may be surprised as to why buyers may also select Shiba Inu over every other dog-themed token, including Dogecoin (CRYPTO: DOGE), which gave upward thrust to this meme token insanity in the first place. After all, a few may also recall Shiba Inu as efficaciously driving the coattails of Dogecoin’s success. That can be proper to a positive degree. However, those tokens aren’t all the same in nature.
The difference of SHIB and DOGE
One of the key differences between the two is SHIB’s reputation as an ERC-20 token is one of the key differences between the two. This is the approach that the Shiba Inu community runs on the Ethereum (CRYPTO: ETH) blockchain. There are both benefits and drawbacks to this.
As an Ethereum-connected token, Shiba Inu is capable of being part of numerous decentralized finance (DeFi) projects. The Shiba Inu community has access to additional software and real-world applications for this coin as a result of this capabilities. The Shiba Inu token, unlike the SHIB and DOGE tokens, gives additional software to its users.
However, unlike Dogecoin, the prices and transaction times of its determined community hold Shiba Inu hostage. Investors think that Dogecoin is one of the quicker blockchain networks within the international proof-of-painting consensus protocols. Therefore, it’s a toss-up with reference to which meme token to own. They’re just different.
Third, Shiba Inu has a strong community. The impressive community created by Shiba Inu is one of the factors that many people considering SHIB tokens cite as a reason for owning this cryptocurrency. There were over 10,000 cryptocurrencies in May of this year, but very few are likely to survive as long-term viable networks. People generally consider cryptocurrency tokens with the strongest community as more secure than those without any kind of loyalty.
Given Shiba Inu’s notoriety on social media and the various levels of support (direct or indirect) that this token received from influential people, it had the ability to maintain relevance in the long run. You have to claim it as a token. They created tokens explicitly as an experiment with community-run cryptocurrencies.