Is Shiba Inu Outpacing Dogecoin?
The world of crypto can, more often than not, be a wacky and wonderful place to be. Nothing exemplifies this more than memecoins; cryptocurrencies inspired by hilarious internet memes. While they might seem a little gimmicky, some memecoins have established themselves as serious players in the crypto industry.
Two of the most popular memecoins are the Shiba Inu coin and Dogecoin, which coincidentally are both based on internet-famous dogs. Letís take a closer look at these two memecoins and discuss whether Shiba Inu is outpacing Dogecoin.
Shiba Inu and Dogecoin: What Are They?
Shiba Inu is a memecoin that was launched in 2020. It quickly attracted lots of attention, both for its quirky meme-inspired ethos and the advanced features and functionality it offers.
Shiba Inu has its own ecosystem, which is a collection of different tokens and blockchain-based applications. The SHIB, BONE and LEASH tokens are all used within the ecosystem, and there are platforms like the ShibaSwap where users can exchange currencies.
Dogecoin is another memecoin based on a popular internet dog. It was launched back in 2013, making it one of the oldest memecoins. Despite being initially conceived as a joke, Dogecoin is backed by impressive tech, and it quickly grew legs and became a serious industry contender.
How Has Shiba Inu Performed?
Currently, Shiba Inu is trading at a price of $0.000007377 and has a market cap of $4.35 billion. This price is extremely low because of Shiba Inuís enormous token supply, with $589.35 trillion coins currently in circulation. The assetís developers are attempting to rectify this situation through a coin burn, which is removing excess coins from circulation.
Like many memecoins, Shiba Inu enjoyed a period of success following its launch, hitting a peak of $0.000003496 within 12 months. Things tailed off for a while after that, before the asset surged in value in October 2021, hitting an all-time high of $0.00008616.
How Does This Compare to Dogecoin?
Dogecoin has a market cap of $8.72 billion, making it the eighth-largest cryptocurrency, eight places ahead of Shiba Inu. At the time of writing this review, the coin is trading at a value of $0.06183.
Dogecoinís price chart is full of ups and downs, more so than your average cryptocurrency, which are known for being volatile. Part of the reason why Dogecoin has been so unpredictable is its representation on social channels and support from celebrities. Billionaire Elon Musk, in particular, has been a proponent of the currency, and his mentions of Dogecoin online have seen the assetís price skyrocket.
Could Shiba Inu Overtake Dogecoin?
At a glance, it may seem like Dogecoin is well ahead of Shiba Inu. However, things can change quickly in the world of crypto, and it doesnít take much for strong coins to turn and start trending downward.
The huge price disparity between the two assets means that itís unlikely Shiba Inu will overtake Dogecoin in terms of sheer value, bar some incredible unforeseen events. However, where Dogecoin is at risk of losing out is in terms of market cap.
Market cap is used to evaluate the strength of a coin and is calculated by multiplying an assetís trading price by the number of coins in circulation. Due to Shiba Inuís huge trading supply, it would only take a modest price increase to see the asset climb in the market cap charts, and it certainly has the potential to overtake Dogecoin.
What Advantages Does Shiba Inu Have Over Dogecoin?
What advantages does Shiba Inu have over Dogecoin? The most important one is that Shiba Inu is built on the Ethereum blockchain, while Dogecoin uses a native blockchain network modelled on the one used by Litecoin.
What this means is that Shiba Inu can access decentralised apps and tools, while Dogecoin cannot. Additionally, Dogecoin transactions use a proof-of-work consensus mechanism, which requires enormous computational power and is harmful to the environment. As Shiba Inu is on the Ethereum blockchain, it is changing to a proof-of-stake consensus mechanism, which is more efficient and environmentally friendly.
Which is the Better Investment Choice?
If youíre looking to add a memecoin to your crypto portfolio, Shiba Inu and Dogecoin are definitely your best options. However, it can be difficult to come to a final decision.
Dogecoin is performing well in the market and is being backed by celebrities such as Elon Musk. This means it could get even bigger in the future as it attracts more mainstream attention.
Shiba Inu, comparatively, is flying under the radar. While it might not have the popularity that Dogecoin is enjoying, it does have some serious technological advantages that should not be overlooked by potential investors.
Additionally, Shiba Inuís large market supply means it could actually overtake Dogecoin in the charts. For these reasons, Shiba Inu could be an excellent decision.
As things stand, Shiba Inu is not outpacing Dogecoin. However, conditions can change in the blink of an eye in the world of crypto. For this reason, itís always worth keeping a close eye on the crypto charts and metrics. If you want to add a memecoin to your portfolio, Shiba Inu could be a good choice, as the asset has lots of future potential.†
Stay updated with all the insights.
Navigate news, 1 email day.
Subscribe to Qrius