Should I buy Shiba Inu (SHIB)? This is one of the questions that we have seen that people and investors are making about this virtual currency for this year. There are some things that you should take into consideration if you want to place your funds in this virtual currency.
We have seen that SHIB offered unique opportunities to users in 2021, but would it be the same in 2022? There are many things that are crucial and that we should analyse before making a decision on whether to buy (or not) this digital asset.
Before we start with the guide, you should also know that we are not financial advisors. All the information shared in this post should not be considered financial advice and are just for educational purposes.
What is Shiba Inu (SHIB)?
Shiba Inu (SHIB) is one of the largest cryptocurrencies in the world in terms of market capitalization. Thanks to the fast and large expansion that this virtual currency experienced throughout 2021, it is now among the top 20 most valuable digital currencies in the world. The question is whether there will be a positive 2022 for SHIB or not. Indeed, the question that we are trying to answer is the following: should I buy Shiba Inu?
In order for you to be able to answer this question, you should definitely know and understand what Shiba Inu is and how it works. There are many things that you should take into consideration about this virtual currency.
Shiba Inu was released to the market in 2020 and it has experienced massive growth in 2021. There have been different periods of time in which the price of SHIB skyrocketed to unprecedented levels. However, the beginning of 2022 has been quite hard for this digital asset (we will get into the details later).
This coin was created as a Dogecoin (DOGE) competitor and is known to be Dogecoin Killer (even when Dogecoin is now more valuable than Shiba Inu). SHIB was created by an anonymous developer that goes by the name of “Ryoshi.”
Basically Shiba Inu is known as a meme coin, which means that rather than having a real-world use case such as Ethereum (ETH), it was created with the purpose of creating a strong competitor to Dogecoin. Due to the fast and large expansion of the cryptocurrency market, Shiba Inu became one of the most beloved digital currencies in the world.
Should I buy Shiba Inu now that I know what this digital currency is? This will depend on what you are looking for on a cryptocurrency. According to the official site of this cryptocurrency project, the Shiba token should be considered a decentralized ecosystem rather than a meme coin.
Over the last year, the virtual currency became adopted by some of the largest exchanges in the market. Additionally, it was able to reach the top 10 cryptocurrency market and it surpassed Dogecoin. This shows that there has been a lot of attention from investors. This is why the question “should I buy Shiba Inu” continues to be one of the most popular in the crypto ecosystem.
Shiba Inu (SHIB) in 2021
But what happened to Shiba Inu in 2021? Should I buy Shiba Inu after the tremendous expansion that this digital currency experienced in 2021? Let’s have a look at what happened to SHIB in 2021 and why it became one of the most valuable tokens in the cryptocurrency market.
According to data shared by CoinMarketCap, Shiba Inu started 2021 being traded close to $0.000000000168 per coin. This is basically zero. But things changed in March. We already saw that there was a growing interest in this digital asset that was now being traded close to $0.00000009 per coin.
In April, things became even more bullish. We saw SHIB moving from $0.00000009 per coin in March to over $0.0000035. This was already a success for many investors that were already involved in meme coins. But the best part was yet to come. There was still a lot of growth potential in 2021.
In May, Shiba Inu was already traded at $0.000035 per coin. This was a local top for a large part of 2021. Indeed, during the next months, Shiba Inu retraced to $0.000010 per coin and it was traded below that level until October when things turned bullish once again.
Before the end of the year, in November, we saw that Bitcoin (BTC) was reaching new all-time highs. This allowed the whole cryptocurrency community to benefit from the last bull move in the cryptocurrency market that we had in the last 6 months. Shiba Inu was not the exception.
SHIB exploded to an all-time high of $0.00008 per coin in November, when Bitcoin was reaching its ATH of $69,000. In this way, we saw how a coin that was worth close to zero, reached amazingly high prices and multiplied investors returns.
Understanding the things that happened after 2021 are also important. We have seen that after reaching the all-time high, the coin started to move lower. Basically, it followed the trend of the general cryptocurrency market. It was not possible for Shiba Inu to trade independently from the general cryptocurrency trend. Nowadays, the virtual currency is being traded at close to $0.00003. It would be definitely important to understand what could happen in 2022 and answer the question: should I buy Shiba Inu?
Reasons to Buy Shiba Inu
There are some reasons that will let you understand whether it could be a good moment or not to buy Shiba Inu. But as we mentioned before, this is not investment advice.
- Shiba Inu is one of the fastest-growing digital currencies
- SHIB surged to new all-time highs in 2021
- This cryptocurrency has surpassed DOGE in market capitalization (for a short period of time)
- The goal is to create a decentralized network and ecosystem with Shiba Inu
- It is accepted in a large number of crypto exchanges
- It might be influenced by Elon Musk
- There are many reasons to join a meme coin
These are some of the reasons that you can take into consideration before deciding to buy Shiba Inu. There are positive and negative things about this cryptocurrency. This is why it is important to have a clear understanding of this virtual currency.
Should I buy Shiba Inu? Well, this depends and should be something that you must analyse with your personal financial advisor. Some investors are using this virtual currency in small amounts in order to build a riskier portfolio with higher prospects of returns. Shiba Inu could be used in order to make portfolios more aggressive in terms of results but also riskier.
You can also have some personal reasons that are pushing you to buy Shiba Inu. This is a very personal matter. There are many things to take into account, including your risk aversion and your profit estimates. This would make it easier for you to understand whether this coin is for you or not.
Reasons Not to Buy Shiba Inu
But there are also some reasons that are pushing you not to buy Shiba Inu. These reasons are closely related to the current market status and also with some other factors that could affect your portfolio in the long term.
- Shiba Inu is a meme coin
- This virtual currency is not used as an investment
- Shiba Inu is simply a copy and competitors of Dogecoin
- You are going to be buying a meme coin
- The community seems large but there are few active developers working on this project
- The market has been bearish over the course of the last few months
- There could be a war between Ukraine and Russia, which is pushing asset prices down
- The coin started 2022 with a bear trend
- Cryptocurrencies could continue falling in the coming months
Of course, if you ask the question “should I buy Shiba Inu?” then you should search for answers. Let us tell you that there are many other reasons why you should not buy Shiba Inu. If you want to reduce your risk and avoid highly volatile assets, then Shiba Inu is not for you.
Where Can I Buy Shiba Inu (SHIB)?
If you are decided about buying Shiba Inu, then you can do so using a wide range of platforms that are currently available in the market. Some of the platforms include Binance, Gate.io, Coinbase, Kraken and FTX, among others.
These platforms are cryptocurrency exchanges that allow users to trade virtual currencies. You can buy, sell and store SHIB using any of the above-mentioned platforms. These exchanges will offer better solutions to users in some jurisdictions, but it is up to you to decide which of these crypto trading solutions you use to get Shiba Inu.
“Should I buy Shiba Inu using Binance?” This is a great question. Binance has been one of the largest digital currency exchanges in the world for many years now. They are offering not only the possibility for users to buy SHIB but also many other cryptocurrencies. This makes it easy for everyone to get access to the cryptocurrency market.
Moreover, if you are a cryptocurrency user that wants to get access to other crypto-related services, then Binance could be the right platform for you. This does not mean, however, that there are no other exchanges that would let you get excellent services. Indeed, nowadays, users can buy Shiba Inu using many other platforms that are as good as Binance or even better.
Everything will depend on the availability of these exchanges in your region and whether they offer you the services that you need. For example, some exchanges let you deposit fiat currencies while others might have additional solutions such as staking, lending or borrowing.
At the moment, Binance has 8 different cryptocurrency trading pairs supporting SHIB. These trading pairs include SHIB/USDT, SHIB/UAH, SHIB/TRY, SHIB/EUR, SHIB/DOGE, SHIB/BUSD, SHIB/BRL and SHIB/AUD. They represent over 25% of the total trading volume of Shiba Inu around the world.
Coinbase, instead, has four different trading pairs: SHIB/USDT, SHIB/USDT, SHIB/GBP and SHIB/EUR. Coinbase is currently processing 6% of the total trading volume of Shiba Inu around the world. This might not be the largest exchange but it offers many different fiat pairs.
As you can see, both Binance and Coinbsae are letting you buy SHIB using different fiat currencies such as EUR, GBP or USD, among others. The easier it becomes for you to get access to SHIB the better this exchange will be. Some of these platforms are also letting you use other third-party payment options that make the whole experience even better.
If you have decided to open an account at one of these crypto exchanges, then, the next steps will be very easy to follow.
Final Words about Shiba Inu (SHIB)
We have reached the end of our guide to answer the question “Should I buy Shiba Inu?”. The truth is that there are many reasons why you should and why you shouldn’t. The final decision belongs to you. This was a post for educational purposes only that shared some of the most important information about Shiba Inu and the cryptocurrency market. All the information shared is publicly available and should not be considered investment advice.
Shiba Inu is a cryptocurrency that experienced explosive growth in 2021 that could be repeated in 2022 as long as the market remains bullish. However, we have seen a large bearish action in 2022 that could continue in the coming months. One thing is clear, there are many things to take into consideration about this coin and about the cryptocurrency market in general.
Shiba Inu was released as a meme coin, but would it be able to offer better solutions to its users than other virtual currencies? Would investors be able to enjoy the benefits of using a digital currency that claims to be building a decentralized financial ecosystem? This remains to be seen as the team behind this coin continues to develop different solutions.