One of the biggest winners of the year was Shiba Inu. The dog-themed coin went from being worth just $0.0003 at the start of the year to being worth over a million dollars in just one year. A little more than $2 invested in Shiba Inu at the beginning of the year would now be worth $1 million.
The doghouse has been left with the crypto token. The speculative interest in the faded token has led to the decline of the SHIB coin. Shiba Inu fell out of the top 10 cryptocurrencies by market cap as investors moved on to other cryptocurrencies.
There's a chance that Shiba Inu could mount another bull run. There are three factors that could push the coin higher.
The image is from the same source.
1. The access to the token will increase.
There is a direct relationship between access and value. The price of a coin increases with more investors able to own it. The presence on new exchanges is a seal of approval.
In May, when it was added to OkEx, and then added to the biggest U.S.-based exchange, the coin jumped 40% over a two-day period. It helped make Shiba Inu go parabolic.
At the end of November, the value of Shiba Inu briefly went up by 20%, thanks to support added to the exchange by Kraken.
The meme token will likely come to more exchanges in the future. Christine Brown, the company's chief operating officer, said in November that the company was taking a more cautious stance when it came to adding token. The regulatory environment was making it difficult to add new coins, according to the Chief Executive Officer. Adding this popular altcoin would seem like a smart business move for Robinhood, especially since the Dogecoin rally in the spring helped drive a crypto boom at the company.
2. The whales love it.
There are a few large holders of Shiba Inu. In late October, 70% of Shiba Inu was owned by just eight whales, with one owning 41% of the circulating supply, according to research from IntoTheBlock.
Many large accounts have recently been buying, and they are due to the vested interest of those whales in putting a floor on the value of SHIB. In the last week, one whale added nearly 3 billion coins to a stake of 31.3 billion coins, with a total value of $1 million, and another added 6.1 billion coins.
According to WhaleStats, the leader by dollar value is Shiba Inu.
3. The utility is getting better.
Shiba Inu has been derided as a joke coin with no real utility. The coin's meme status has led to increased utility because of the sudden interest generated.
Newegg Commerce, an e-retailer that sells computers and electronics, said last month that it would begin accepting Shiba Inu token, while AMC Entertainment, the world's largest movie-theater chain, said it would also accept payment in the token. AMC would adopt Shiba Inu in the next two to four months, according to CEO Adam Aron.
Merchants in BitPay's network can now accept Shiba Inu as payment. The trend is moving in the right direction and is likely to gain traction in the year 2022, especially if AMC follows through on its plan to make the coin acceptable at roughly 10,000 theaters.
There is only one certainty.
The Shiba Inu bulls should be prepared for another wild ride next year as the volatility in thecryptocurrencies seems likely to persist.
There are reasons to bet on a comeback for SHIB. The coin crashed 75% after briefly spiking in May. Its peak in October was more than double the one in May.
There are a number of catalysts out there that could bring the meme coin back to life. As we start the new year, keep an eye on the three drivers above.
