Crypto analytics firm Santiment is discussing the future of Dogecoin (DOGE) copycat Shiba Inu (SHIB) as the meme coin mania dies down.
In a new post, Santiment takes a look at SHIB as crypto investors were betting in May that it could be the next Dogecoin.
Santiment reports that the hype surrounding SHIB definitely appears to have died down since its peak last month.
“First spike is probably when Elon said that he’s looking for a Shiba pup and the crowd went wild. This is probably the reason that we saw a peak for the coin. Because Elon mentioned the word ‘Shiba’ on Twitter. Immediately, this is what happens.”
Santiment adds that SHIB was also in its top three trending coins in mid-May, which tends to indicate that an asset has reached a local top.
“A tool that allows to spot local tops fired an ‘alarm’ twice. When a coin appears in emerging trends list, especially in top 3, it’s often a sign of a price top. Because it indicates a sort of a peak social hype. Price can hardly sustain its rally without increasing hype (or social volume).”
Additionally, the type of social sentiment that SHIB is facing has gone from super excited to super bearish.
Although many indicators are bearish for the meme coin, Santiment points out that the number of active addresses for SHIB is still fairly high despite falling quite significantly. The firm adds that SHIB is still in the top ten coins by activity on the Ethereum blockchain.
Shiba Inu still stands in the top 100 coins by market cap and holds over a $3 billion valuation, according to CoinGecko.Don't Miss a Beat – Subscribe to get email alerts delivered directly to your inbox
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