The Shiba Inu Token Really Isn’t the Joke You Might Think It Is
InvestorPlace - Stock Market News, Stock Advice & Trading Tips Shiba Inu doesn't have to be your bread-and-butter, income-producing investment. In...
Like Dogecoin, Shiba Inu is cheap and moves faster than lightning.
Believe me, I would never suggest that SHIB is appropriate for a large-sized investment. The best strategy is to take a small position and try to enjoy the ride.
As long as you’re not betting the farm on Shiba Inu, it can be perfectly appropriate for a diversified cryptocurrency portfolio. And by the way, owning a ton of DOGE and SHIB doesn’t really count as diversification.
So, proceed with caution but at the same time, have some fun. You might discover along the way that small-priced altcoin investing can be exciting, dangerous, and hopefully, profitable in the end.
I must admit, some cheap cryptocurrencies challenge my ability to apply technical analysis.
It reminds me of sub-penny stocks, which require technicians to consider differences of very tiny currency units.
Analyzing the Shiba Inu Price
So, here we go. At this writing, the Shiba Inu coin traded for a little more than 0.0007 cents.
What this means is that, if SHIB should reach a full penny, that would translate to enormous percentage-wise gains. Heck, even if it hit a tenth of a penny, that would be an epic move.
There was a time, back in May, when the Shiba Inu price rocketed up to 0.003431 cents, or $0.00003431. Therefore, 0.003 cents could be an aggressive but reasonable price target for the bulls.
And for the ultra-bears, I’m sure they’re targeting zero if they really hate SHIB. There’s a possibility that the bears are right, so please prepare for substantial price volatility as an investor.
Utility and Acceptance
There’s a misconception going around among some folks that the Shiba Inu coin is just a joke coin. I suspect that there’s some confusion going on here.
It is true that Dogecoin was invented in 2013 as a joke, but we need to understand that Shiba Inu is not the same as Dogecoin (even though there are obvious similarities).
Moreover, SHIB appears to be gaining acceptance as a coin that can be used in practical applications, as opposed to a token that’s only meant to be traded.
I spotted an example of this in a tweet posted by official Shiba Inu ecosystem account @Shibtoken: “Are you into $SHIB and #NFTs? Great news! You can now sell your art in @opensea using SHIB! #Shib‘s utility and acceptance keeps growing!”
This is significant, as OpenSea is the largest NFT (non-fungible token) marketplace, according to the company’s statement.
NFT’s constitute a vast emerging market. If the Shiba Inu token can become a preferred payment method within the NFT ecosystem, that would be a major coup.
Even as SHIB holders root for the coin to gain mainstream adoption, there’s an evident crypto war in progress. Maybe “war” is too harsh of a word for it. Really, it’s more of a competition, though it can get heated sometimes.
Interestingly enough, there are folks who like Dogecoin but don’t like Shiba Inu, and vice versa. Perhaps, this sense of competitiveness was stoked through some fierce verbiage in what’s known as a “Woof Paper.” This document is like a white paper, but with a somewhat playful slant.
According to the official Woof Paper, the Shiba Inu community was the “first to allow diamond hands to hold billions, or even trillions, of tokens in their wallets.” Moreover, the Woof Paper claims that the “value of SHIB is primed and ready to overtake the value of Dogecoin.”
Hence, the SHIB currency and community earned the nickname of the “Dogecoin Killer.”
Let’s not get too bellicose here, though. There’s more than enough room for both canine-themed coins to flourish, and with that, cryptocurrency investors can have more than one dog in the race.
The Bottom Line
I invite digital asset traders to consider a small position in the Shiba Inu coin, just for fun and maybe some profits as well.
If SHIB gets to a penny or even a tenth of that, it will be quite an achievement.
Most important, let’s not go too far in pitting one token against another. The last thing we need right now, in the world of crypto, is a dog fight.
On the date of publication, David Moadel did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.
David Moadel has provided compelling content – and crossed the occasional line – on behalf of Crush the Street, Market Realist, TalkMarkets, Finom Group, Benzinga, and (of course) InvestorPlace.com. He also serves as the chief analyst and market researcher for Portfolio Wealth Global and hosts the popular financial YouTube channel Looking at the Markets.
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