Shiba Inu (SHIB), the cryptocurrency inspired by a dog meme, like Dogecoin, the largest by market capitalization, suffered a downward correction yesterday, in the order of about 6%, according to CoinMarketCap. This pullback is in line with a larger downward move in the broader cryptocurrency market, with traders taking profits on recent long positions. However, the trend appears to have reversed and SHIB started the day up about 4%.
At current levels just above $0.000011, SHIB is still up about 38% this month, but is now down nearly 14% from its recent highs just below $0.000013. The Shiba Inu pullback comes after the cryptocurrency broke an uptrend that sent its price higher throughout January.
For now, SHIB is holding the $0.000011 support level, thanks in part to a wave of buying ahead of the 200-day moving average at $0.00001075. But if the price falls below this zone, SHIB could see a rapid decline towards the next support around $0.00001.
Price prediction for Shiba Inu
According to the algorithm-based financial activity forecasting website, Portfolio investor, which relies on an asset’s technical analysis and price history to determine its future trajectory, the Shiba Inu will lose over 92% of its value in 2023, falling from its current value at approximately $0.0000008. Wallet Investor thus characterizes Shiba Inu as a bad long-term investment.
However, many analysts believe this is an overly pessimistic outlook. 2023 looks to be a much better year for cryptocurrencies than 2022, thanks to growing expectations that the Fed’s aggressive tightening cycle that lasted throughout 2022 will end and begin to reverse by the end of the year.
And Shiba Inu developers are expected to release new products aiming to improve the cryptocurrency’s usefulness; so far, Shiba Inu tokens have been criticized due to their lack of real-world use cases.
The Shiba Inu developers will implement a layer 2 blockchain very soon that will work in conjunction with the mainnet of Ethereum. SHIB owners will be able to trade tokens within the Shiba Inu ecosystem on this blockchain and benefit from lower fees and faster transactions. The developers also hope to launch a Shiba Inu metaverse later in 2023.
These developments, coupled with a long-awaited recovery in the cryptocurrency markets, could help SHIB in 2023. The CEO ofUnocoin technologies, Satvik Vishwanathspoke in a recent survey by finder.com and whoever gave the cryptocurrency meme a “hold” rating, said that “[SHIB] it can be a good investment… The growth potential is more than 100% in the coming years.”
However, he added, “Shiba Inu are best bought in moderation as the value proposition of the project is not yet fully understood.”
Is it too late to invest in Shiba Inu?
Knowing if it’s too late to invest in an asset is the wrong question. The right question is whether an asset should be purchased or not. And it depends on how an investor judges their long-term performance prospects.
If you believe, based on your research, that the price of SHIB is going to increase significantly in the next few years, it’s probably worth buying. Otherwise, stay away.
Alternatives to the Shiba Inu
If you’re looking for more high-potential crypto projects, we’ve rounded up the top 10 cryptocurrencies to watch for 2023, following an analysis by the CryptoNews team of experts.
The list is updated weekly with new altcoins and ICO projects.
Disclaimer: The “Expert Voice” section presents the views of cryptocurrency industry players and is not part of Cryptonews.com’s editorial content.