This article was originally published on Fool.com. All figures quoted in US dollars unless otherwise stated.
This article was originally published on Fool.com. All figures quoted in US dollars unless otherwise stated.
What happened
Shiba Inu (CRYPTO: SHIB) is sinking in today’s trading. The cryptocurrency’s token price was down roughly 6.9% over the previous 24-hour period at 11:30 a.m. ET Monday.
The cryptocurrency space is getting hit with a wave of bearish momentum as investor appetite for risk appears to be wavering, and SHIB is no exception. Its token price is now down roughly 11.8% over the last week of trading.
So what
There don’t appear to be any major new developments driving sell-offs for Shiba Inu and the the crypto market at large today, but risk-off sentiment has generally been shaping trading lately. With hawkish Federal Reserve police, high inflation, Russia’s invasion of Ukraine, and other factors, investors are weighing a bevy of bearish catalysts and opting to liquidate positions in cryptocurrencies and stocks.
Now what
Shiba Inu now has a market capitalization of roughly $12.75 billion, and it ranks as the 15th-largest cryptocurrency by valuation.
In recent months, SHIB has traded largely in line with the broader cryptocurrency market, and it looks as if market momentum will continue to be the main pricing driver in the near term. While the team behind Shiba Inu is rolling out expanded compatibility features and a metaverse themed around the token’s meme mascot, the extent to which these initiatives will create bullish catalysts for the token is hard to predict.
If the broader crypto space sees another major bullish swing, it’s reasonable to think that Shiba Inu’s token could enjoy a substantial rally. However, investors should understand that forecasting crypto cycles is difficult, and the potential for big returns is counterbalanced by high risk.
This article was originally published on Fool.com. All figures quoted in US dollars unless otherwise stated.
The post Why Shiba Inu is plummeting today appeared first on The Motley Fool Australia.
Wondering where you should invest $1,000 right now?
When investing expert Scott Phillips has a stock tip, it can pay to listen. After all, the flagship Motley Fool Share Advisor newsletter he has run for over ten years has provided thousands of paying members with stock picks that have doubled, tripled or even more.*
Scott just revealed what he believes could be the five best ASX stocks for investors to buy right now. These stocks are trading at near dirt-cheap prices and Scott thinks they could be great buys right now.
*Returns as of January 12th 2022
More reading
- Why Bitcoin, Ethereum, Dogecoin, and Shiba Inu are down today
- Shiba Inu’s ride higher accelerates as the token surges 18%
- Is Shiba Inu ready for a bull run?
Keith Noonan has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.
This article was originally published on Fool.com. All figures quoted in US dollars unless otherwise stated.
from The Motley Fool Australia https://ift.tt/DNmpbgf
Leave a Reply