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Many thought that Dogecoin was a one-off – until meme-coin Shiba Inu exploded in price last year.
Ethereum co-founder set the course of Shiba Inu when he burned 41.02% of supply in May 2021. The Shiba Inu price went from $0.0000008 to $0.000035 in the space of a month. That's a 4,275% return in the space of a month.
If you owned just $100 of Shiba Inu (SHIB) in April 2021, by mid-may your portfolio would be worth $4,375. By the all-time high of $0.00008 your $100 SHIB investment would have sold for $10,000.
It's no surprise Shiba Inu gave the best ROI last year. In fact, if you'd bought $100 right at the beginning of 2021, you'd have become a millionaire by the end of the year.
But is Shiba Inu still a good buy in July 2022?
TL;DR – Shiba Inu accumulation is gathering huge momentum, but you need to be aware of the risks.
Shiba Inu launched in August 2020 by an anonymous founder known only as 'Ryoshi'.
The links with Dogecoin – currently the most popular meme-coin on the market – are strong. Both Dogecoin and Shiba Inu are based on popular memes of the Japanese hunting dog the Shiba Inu.
Unlike Dogecoin, Shiba Inu is an ERC-20 token built on the Ethereum network. The project described itself as an experiment in rapid decentralised community building – without any clear direction or core development team, Shiba Inu has gone above and beyond Ryoshi's initial vision.
Today, Shiba Inu is the 14th biggest cryptocurrency by market cap ($5.6 billion).
Shiba Inu shot into the spotlight when Vitalik Buterin – the Ethereum co-founder – received a large proportion of SHIB. He burned 42.02% of supply and sent a large amount to a COVID-19 relief fund in India. According to Buterin, he didn't want the control that owning nearly half the SHIB supply came with.
Burning Shiba Inu has since been picked up by individual investors and projects across the world. There is the Shiba Inu Coffee Company, which burns SHIB from a % of profits, as well a partnership with Wendy's fast food outlet, a Shiba Inu styled restaurant in Dubai, boxers in Argentina, and many more.
Coinbase listed Shiba Inu in September last year, and helped to take Shiba Inu onto an all-time high where its market cap ballooned to $41 billion – that's more than the market cap of BNB, XRP, Cardano or Solana currently.
The Shiba Inu success story led to more Google Searches for 'Shiba Inu' than even Bitcoin since the all-time high last November.
However, such dramatic gains are hard to come by once a cryptocurrency reaches top 20 status. From the Shiba Inu pump in May to the all-time high in November, for example, the Shiba Inu price rose 130% – impressive, but not quadruple figures.
Many more crypto newcomers are more likely to grow 1000% and more in 2022.
One project analysts are identifying is EverGrow Coin.
The token took the success of coin burning in the Shiba Inu community and built it into the very fundamentals of EverGrow Coin. From a 14% transaction, 2% is set aside for strategic buyback and burn.
Now 53% of the initial EverGrow Coin supply has been removed from circulation. Meanwhile, after Buterin burned 42.02% of the SHIB supply last May, in July 2022 the Shiba Inu burn has only moved marginally to 42.03%.
EverGrow Coin is about to launch a suite of applications, including an NFT marketplace, a content subscription platform (Crator) and a metaverse experience. The profits of each of these will be pumped 100% into buyback and burn – with monthly burns expected to be more than 0.5% of initial supply.
Crypto analysts have discovered a fascinating fact about Shiba Inu in July 2022 – SHIB is the second-largest holding among Ethereum whales.
The top 100 Ethereum wallets are holding $400 million worth of Shiba Inu. The only token they're holding more of is the stablecoin UDSC. As a percentage, it means that 18% of Ethereum whales' holdings are in USDC, with 13.9% in SHIB and 12.4% in Tether (USDT).
Whales are a top bullish indicator for a cryptocurrency like Shiba Inu, as there is large incentive to hold on until a bull market returns.
In a July 2022 blogpost the lead developer of Shiba Inu (Shytoshi Kusama) announced four new developments to roll-out this year.
They include the Shibarium layer-2 blockchain, allowing developers to build dApps and projects on top of Shiba Inu infrastructure. The new BONE token will pay for gas fees.
The Shi stablecoin is also due for release in 2022, to bring a US Dollar-pegged token into the Shiba Inu ecosystem. The TREAT token will also go live as a rewards token to the fourth development coming soon: the Shiba Collectible Card Game. Shytoshi called this last development the 'best collectible card game on the planet'.
After Ryoshi stepped back, Shiba Inu's huge success has been driven purely by a decentralised community.
Thousands of investors across the world have found inventive ways to boost SHIB's profile, burn SHIB from supply or give SHIB extra use cases. These include a suite of businesses burning Shiba Inu from a % of their profits as well as the ShibaSwap portal, which rewards a shifting APY to any users who destroy SHIB on the platform.
The decentralisation means Shiba Inu is safe from centralised developers playing pump and dump schemes or otherwise putting investors' funds at risk. It also makes the Shiba Inu community a very welcoming place and rewarding for anyone getting involved – both socially and economically.
The biggest problem facing Shiba Inu is this: the legendary returns are now a thing of the past.
Shiba Inu has no core utility. Nor does it have any built-in buyback and burn mechanism to keep its prices rising long-term. It means that investors are all in the same boat – and they all must find ways to either burn tokens at their own cost or build utilities at their own risk.
EverGrow Coin is identified as a Shiba Inu lookalike because of the way developers are instantly rewarded for their efforts. EverGrow Coin is unique in crypto because the core development team only earn any income from exactly the same mechanism as every other investor: BUSD reflections.
From the 14% transaction tax, 8% is redistributed instantly as BUSD to all wallets depending on their position size. All the main team members have published their EverGrow Coin wallets online – this both provides accountability that no pump-and-dump is going on, but also shows how investors can also enjoy BUSD passive income.
The transaction tax applies to both buy and sell orders. This helps to discourage large sell-offs – and also means that all investors HODLing through a bear market continue to earn from any sell orders.
The huge accumulation among whales is a positive sign for Shiba Inu.
However, it's worth being aware that Shiba Inu has also fallen 71% in price since the beginning of the year. No large-cap cryptocurrencies have escaped the 2022 bear market, and low prices are likely to stay low for the next weeks or even months and into next year.
It means that while, yes, Shiba Inu is a good investment, you might not see any significant ROI for the next six months or more.
If it's the rapid gains you're looking for, or being ahead of the next trend in crypto, then there are other small-cap tokens you should be looking at.
EverGrow Coin's trading volume and market cap currently are where Shiba Inu was before the monumental breakout last year. With an exciting roadmap and never-before-seen fundamentals to revolutionise the crypto space, this could be a better buy in July 2022 for rapid gains.
*NOTE: The views expressed in this article are not financial advice. Always do your own research and never invest funds you need to cover vital living expenses.
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Disclaimer: Analytics Insight does not provide financial advice or guidance. Also note that the cryptocurrencies mentioned/listed on the website could potentially be scams, i.e. designed to induce you to invest financial resources that may be lost forever and not be recoverable once investments are made. You are responsible for conducting your own research (DYOR) before making any investments. Read more here.
