A new report suggests that Shiba Inu coin and Dogecoin, two of the bigger meme-based cryptocurrency tokens, have reached their peak and are proving that hype doesn’t last forever.
Why did Shiba Inu coin and Dogecoin drop?
AMBCrypto reports that Shib and Dogecoin suffered massive drops in recent days. Dogecoin dropped by 7% and Shiba Inu coin dropped by 10%, a sign that the two coins are on a continual slide.
- “These memecoins are finally proving what they actually are, coins that cannot be taken seriously,” according to AMBCrypto.
It doesn’t help that the coins have lost interest in recent weeks, likely because “open interest for both memecoins dropped considerably at the first sign of corrections,” AMBCrypto reports.
- Overall, the report suggests that both Dogecoin and Shiba Inu coin are both being bought by major “whales” — big-time investors who collect a bulk of the available coins and then sell later for a big return on investment — and then sold off, leaving the market to crash.
Why crypto tokens lost value
Indeed, this isn’t the first report to note that the meme-based coins — specifically dog-based coins — are on the downfall. Because Dogecoin dipped recently, the other dog-based coins will fall as well, according to InvestorPlace.com.
- “When the king meme goes up, it’s court moves in sympathy,” InvestorPlace.com explained.
Will Shib and Doge rise again?
There are some predictions out there that the Shiba Inu coin drop will lead to a price rally, as more buyers will invest since the cost is dipping so low. There are predictions that the prices will continue to fall and possibly rise next year.
