TLDR
- Financial experts are skeptical about Shiba Inu overtaking Dogecoin, with 79% believing SHIB will never flip DOGE in market cap
- SHIB’s massive supply (589.25 trillion tokens) compared to DOGE’s 148.82 billion creates a significant hurdle
- Currently, DOGE holds 8th position with $24.60 billion market cap, while SHIB sits at 17th with $7.3 billion
- Recent whale activity shows increased interest with daily trade volume rising to 224 billion SHIB tokens
- Technical indicators show SHIB consolidating between $0.00001150-$0.00001250, with potential for a breakout
A recent poll conducted by Finder revealed that financial experts remain doubtful about Shiba Inu’s ability to overtake Dogecoin in market value. The survey, which included 14 finance experts, found that 79% believe SHIB will never flip DOGE in market capitalization.
Only 7% of experts showed confidence that SHIB would surpass DOGE at some point, with these few predicting it could happen as early as 2026. The remaining 14% were uncertain about SHIB’s future prospects.
This overwhelming rejection of Shiba Inu’s potential to replace Dogecoin as the leading meme coin reflects wider market sentiment regarding the two tokens.
Currently, Dogecoin holds the eighth position among cryptocurrencies with a market cap of $24.60 billion. Shiba Inu sits at 17th place with a market capitalization of $7.3 billion.
For SHIB to reach DOGE’s current rank, it would need to increase its worth by 240%, assuming Dogecoin’s price remains constant.
Shiba Inu
SHIB Price
Supply Challenges for SHIB
One major hurdle preventing Shiba Inu from overtaking Dogecoin is the token supply issue, according to Dr. Sathvik Vishwanath, Unnocoin’s jurisdictional head.
The circulating supply of SHIB stands at a massive 589.25 trillion compared to just 148.82 billion for DOGE. This creates an enormous supply gap between the two cryptocurrencies.
Vishwanath noted that despite Shiba Inu’s excellent tokenomics and strong community support, the massive token supply prevents SHIB from taking over DOGE’s market cap.
This isn’t the first time these cryptocurrencies have competed for superiority. In 2021, Shiba Inu briefly dethroned Dogecoin when its market cap touched $39 billion. However, this victory was short-lived as DOGE quickly reclaimed the title of the top meme coin.
Recent Whale Activity and Price Action
Contrary to the negative expectations from analysts, recent trading statistics show increased interest in Shiba Inu. According to IntoTheBlock, SHIB daily trade volume rose to 224 billion tokens in 24 hours, with whales dominating the activity.
Inflows from large holders increased from 96 billion SHIB on April 13 to over 224 billion on April 14. This rise in interest from major investors could signal changing sentiment as whales often position themselves before anticipated price movements.
Currently, SHIB is trading at around $0.00001197, slightly outperforming Ethereum in monthly returns despite being based on the Ethereum network.
The cryptocurrency is consolidating within the $0.00001150-$0.00001250 range, identified as a historically important support zone for Shiba Inu. This support zone is critical for both short-term traders and long-term investors.
Technical analysis shows that SHIB needs to break above $0.00001250 for a confirmed bullish move. If this resistance is cleared, it could signal the beginning of a new uptrend.
The Relative Strength Index (RSI) for SHIB currently sits at 51.96, indicating neutral market sentiment. This suggests that SHIB will likely stay within its current consolidation pattern unless market conditions change.
On the daily chart, the three lines of the Bollinger Bands indicator are squeezing, while the standard deviation indicator has fallen. In many cases, an asset tends to have a strong bullish or bearish breakout when this happens.
Further, the Shiba Inu price has formed a small double-bottom pattern at $0.000010, with its neckline at $0.00001560. This small double-bottom is part of the formation of a larger triple-bottom pattern whose neckline is at $0.000033.
The coin will likely have a strong bullish breakout as bulls target the initial neckline at $0.00001562. A move above that level could indicate further upside potential, possibly reaching the 50% retracement level at $0.000022, an increase of 87% from the current level.
However, a move below the key support at $0.00001080 would invalidate this bullish view.
The main catalyst for the Shiba Inu price is the performance of Bitcoin. A strong Bitcoin breakout will likely trigger more upside for Shiba Inu and other altcoins.
Data shows that the daily burn rate rose by 460% to over 62.3 million tokens on Thursday. This increase in the burn rate has reduced the total circulating supply to 584 trillion.
The Shiba Inu price may also surge due to the increasing Mean Dollar Invested Age (MDIA), which has risen to 147, the highest level since March 12, from a year-to-date low of 87.
Traders should watch key levels: the $0.00001050 support (double-bottom), the $0.00001150-$0.00001250 support zone, and the resistance at $0.00001250.
With SHIB’s current position and technical indicators, the strategy of waiting and observing seems prudent – either for a clear break and hold above the resistance at the $0.0000125 level to open a long position, or if the price breaks below the $0.00001150 support for short positions.
