Leading meme currency Shiba Inu has surged 8% on Thursday as it attempts to reclaim lost ground. The sudden rise has come as a surprise, as traders seldom thought it could surge in value. The rise is linked to President Donald Trump’s recent statement, in which he revealed that the US is considering buying a “sizeable” amount of Bitcoin.
The announcement made Bitcoin hit $70,000, while Ethereum is close to reaching $2,300. XRP and Solana have spiked nearly 12%, and the overall cryptocurrency market is pumped up. This is why Shiba Inu shot up 8% and is likely to continue going further up today. While prices are heading north, investors’ confidence in SHIB is still in the south.
Shiba Inu is struggling to find takers, and new and first-time investors are hardly interested in the token. The number of buyers has dried up, with no sizeable amount of investment entering its fold. SHIB is now a token of old holders, who are mostly waiting to break even. They are forced to hold on to their bags against their will. The relentless price downturn for three years has eroded all confidence in the token.
Also Read: 3 Events Thats Could Turn Shiba Inu (SHIB) Bullish
Will Shiba Inu’s Rally Continue?
The chances of Shiba Inu’s rally continuing for the next few months are slim. Even if the US buys Bitcoin, the frenzy could likely last for a month. The market would enter the stagnation zone again after the dust settles. SHIB is mostly on the negative side of the market with little to no traction lately. Therefore, it would be more affected once the dust settles, and chances remain that it could erase the gains it generated.
Traders who are willing to take the risk can enter Shiba Inu now and pull out when the price rises. Being quick in selling is the only way to make a profit in SHIB currently. Holding on to the token in the hope of a further rise is not a wise decision. It could take months, if not years, to just break even. In conclusion, this is the right time for short-term investments and not to go long.
Credit: Source link