In this article, we thoroughly compare Shiba and Dogecoin, and hopefully, you will be able to decide which one to put your hard-earned money in. In a degraded context, memecoins are feeling the pinch. The battle is raging between the two leaders of the memecoins sector. So who has the most weapons to win the battle?
Doge and Shiba Inu victims of the fall in the markets.
The last few weeks in the crypto market have been hectic. After a relatively green start to August, a new fall began on August 19. Bitcoin fell in a few days from $23,000 to less than $20,000. Apart from a few projects, such as Chilliz, Cosmos, or even Tamadoge, the rest of the market followed suit. In these kinds of circumstances, it is generally not suitable to be a memecoin.
The two memecoins also experienced a drop in magnitude. The DOGE fell from $0.08 to $0.061 at the time of writing. This corresponds to a decline of around 7% over the week. As for the SHIB, it went from $0.0000016 to $0.000012 at the time of writing. Again, a drop of 7% over the week.
In terms of total capitalization, Dogecoin maintains its place in the top 10 narrowly ahead of Polkadot with $8.177 billion. He is still ahead of his competitor Shiba Inu who ranks 14th with 6.709 billion dollars. The project has lost a few places with this new fall in the market.
The projects manage all the same to remain at the forefront of the largest capitalizations. They are now ahead of behemoths like Avalanche, Cosmos, or even Litecoin.
What do the indicators tell us?
To take stock of the state of form of the two memecoins, let's first look at the MVRV ratio. The latter compares the Market Cap and the Realized Cap.
The Realized Cap calculates the value of the tokens at the time of their last movement on the blockchain. We can say that this is the price actually paid by investors. By comparing it with the Market Cap, we can observe the positive difference in favor of the majority of investors or negative in their disadvantages.
This indicator, therefore, makes it possible to know if the current price is lower than the fair value represented by this Realized Cap. This MVRV ratio was –11.81 % on Shiba INU and -17.32% on Dogecoin. This indicator bears witness to the capital loss realized for the time being by a number of investors.
Some indicators are nonetheless encouraging for both projects. According to LunarCrush, Dogecoin is the third project in social engagement over the past week. Shiba Inu also defends itself by placing 7th in this ranking. No wonder these two tokens have built their success on the commitment, especially digital, of a community!
Another encouraging indicator is the whale holdings on the Binance Smart Chain. Among the top 100 of these huge wallets is an increase in Dogecoin holdings. This may be a sign that these wallets are starting to find the price attractive. They thus accumulate Dogecoin with a view to a rise in the price.
For its part, Shiba and its community are preparing to launch the game Shiba Eternity. According to project manager William Volk, the game will be launched during the month of September. Shiba, therefore, continues its development to show that it is something more than a simple memecoin.
After ShibaSwap, his home DEX. The latter makes it possible to provide liquidity, and generate attractive returns but also to stake your assets, and swap your tokens in a few seconds.
These two projects are even more affected by degraded conditions than other more “useful” projects. Memecoins are often among the first to experience steep declines in a bear market. However, Dogecoin and Shiba Inu are holding up pretty well so far.
Still in the top 15 of the largest caps, neither has collapsed yet. Moreover, they are rather aloof from the recent scandals or hacks that agitate the crypto community.
The next few weeks and months will tell us if the two projects manage to resist over time. Always supported by a strong community and attracting investors looking for a nice capital gain, they have arguments to survive this bear market.
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