Shiba Inu proved that despite the turmoil in the broader crypto market in the past few weeks, it can hold its own against what is happening.
The major crypto token recovered on Wednesday after a severe sell-off in the previous session. However, the increase was modest, indicating subdued market confidence.
Dogecoin and Shiba Inu, commonly referred to as “meme cryptocurrencies,” have grown the fastest in recent years, but they also suffered heavy losses from the crash.
Aside from Terra’s LUNA and the dollar-pegged Tether, other major crypto tokens saw gains. Shiba Inu rose nearly 10%, followed by Avalanche, Solana, up 5%. BNB and XRP both rose 3%.
Recommended reading | Shiba Inu: Largest dollar holdings among richest Ethereum whales
The cryptocurrency market showed signs of recovery on Wednesday after a sharp drop the previous day, during which many leading coins lost 10% or more in value.
Shiba Inu is weathering the storm better than its rivals (The Goa Spotlight)
Shiba Inu outperforms Dogecoin
Overall, the market is up a few percent today, with Shiba Inu outperforming its main competitor Dogecoin when it comes to meme coins and tokens.
Despite a 70% crash in the first three months of 2022, which left the coin badly hurt and possibly on the verge of extinction, it managed to climb back and stay in survival mode.
According to CoinMarketCap, as of this writing, SHIB has gained around 5% in the past 24 hours and is currently trading at $0.00001615. On the other hand, Dogecoin (DOGE) is currently trading at $0.109833, up less than 1%.
Given the influencers behind Dogecoin, its decline may not be that worrisome compared to other cryptocurrencies in the market.
Shiba Inu hit a seven-month low yesterday, while Dogecoin fell to its lowest point in more than a year — since April 2021, following the broader crypto market turmoil.
SHIB total market cap at $8.15 billion on the daily chart | Source: TradingView.com
LUNA gets hammered
The instability of UST led to panic selling of heavyweights like BTC and ETH, increasing overall market volatility.
The recent UST crisis has exposed huge weaknesses in algorithm-backed stablecoin systems that need to be addressed publicly in order to regain investor trust.
The value of UST’s counterpart, LUNA, has roughly halved in the past 24 hours. It recently traded at $32 per share.
The recovery of LUNA will depend on remedial measures taken by the parent network/Luna Guard Foundation, which has amassed considerable Bitcoin reserves through a series of large-scale BTC acquisitions.
…and so does Bitcoin
Meanwhile, over the last week, Bitcoin’s value has fallen by more than 20%.
This affects everyone who has money to invest in any type of cryptocurrency, which is why many dispose of their holdings at an alarming rate.
The exact date and time when or if this decline will stop is unclear.
Recommended reading | Bitcoin falls below $30k as markets show signs of paranoia