This is an analysis that is not easy to accept, but it should be done well: if you buy SHIB for 100 dollars every 14 days for a year… you will have lost 500 dollars.
An asset in decline
Although SHIB is growing in popularity, with its large army of fans who make up the so-called SHIB Army, the crypto-meme is facing huge challenges in the face of market volatility and the current market gloom has not only make matters worse. Indeed, DCA crypto data indicates that the average dollar cost of SHIB over the last twelve months reveals that one would have made an investment at a loss. For example, if one invests 100 dollars every 14 days from June 2021 to this month (June 2022), one will have made an investment of 2700 dollars; except the value in SHIB would be $2,190.65. The investor will have lost 18.86% of the capital he invested, or $509.35. When the data is presented like this, it does not provide a complete picture of the situation. Let’s make some clarifications. Of the 27 fortnights in which we would have invested, only 5 fortnights are at a loss, the other 22 are profitable. More specifically, the last three fortnights have seen the greatest losses, due in particular to the collapse of Terra, then, of Celsius and the others. SHIB is suffering, like all the others, from the effects of the cryptocurrency winter.
According to data from a Google Trends study conducted by Los Muertos, SHIB is one of the cryptocurrencies suffering from disaffection on the part of Americans. It is American investors who are, in fact, the most eager to sell their stocks of Shib.
Separately, earlier this month, SHIB lost over 20,000 holders in a week between June 2 and June as demand for the meme coin plummeted.
Cryptocurrency has therefore seen the craze around it fade over the days. As of this writing, SHIB was trading at $0.00001179, up 52.5% in the past seven days and 2.6% in the past 24 hours, according to data from Coingecko. This price increase is an excellent indicator announcing a recovery in the value of the cryptocurrency.
While it is true that SHIB does not have a sponsor of Elon Musk’s caliber, as is the case for Dogecoin, the fact remains that its community remains loyal to it and is preparing its level 2 blockchain, the Shibarium, previously announced for this month of June. Shib Inu has certainly lost a lot of investors in the United States, but still has strong communities in countries like Turkey.
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Luc Jose Adjinacou
Far from having dampened my enthusiasm, an unsuccessful investment in a cryptocurrency in 2017 only increased my enthusiasm. I therefore resolved to study and understand the blockchain and its many uses and to relay with my pen information relating to this ecosystem.