Impressive: a memecoin, in just over a year, has shown immeasurable value.
In August 2020, the Shiba Inu cryptocurrency (SHIB) had a negligible value. As of this writing, the token is worth around 0.000000001228 BTC, with a 38.8% appreciation in the last 24 hours. A single user purchased $3,400 in SHIB and, in just over a year, became the newest billionaire in cryptocurrencies: today, his wallet is worth $1.55 billion.
The Untracaeble user, in his twitter, expressed serious concerns regarding the accumulated fortune of the user in question (70,200,003,107,594 SHIB, to be exact):
“The question is: will the SHIB market be able to absorb the balance if this portfolio is liquidated?”
After all, the accumulated valuation since the user purchased the tokens is over 94,000,000%. A mass sale could, without a doubt, cause untold losses to thousands of investors, as well as seriously hurting liquidity.
SHIB’s total marketcap is approximately US$40.3 billion.
DOGE x SHIB
While SHIB continues to climb non-stop, most likely due to heightened excitement in the market, Dogecoin (DOGE), one of the world’s first memecoins, has risen a “mere” 18.5% in the past 30 days.
Dogecoin has an approximate marketcap of $31.5 billion. The reason why the asset has increased in value is understandable: as it has been in circulation for many years, it no longer sparks the curiosity of enthusiasts as usual.
Anyway, you can’t be too careful when investing in either of the two assets: the strong volatility of memecoins makes investing in something quite risky, especially in times of euphoria.