Is Shiba Inu the Next Bitcoin? Retail Investors Think So
- Most SHIB holders are retail investors, underscoring its grassroots popularity.
- While small, the presence of large holders like exchanges is crucial for SHIBs ecosystem.
- SHIBs community-driven nature positions it as a potential digital currency for daily transactions.
Shiba Inus latest analytics from CoinMarketCap highlight the community-focused nature of the cryptocurrency. The data reveals that a majority of SHIB holders (over 89%) are retail investors with relatively small holdings, ranging from $0 to $1,000. This suggests that SHIBs popularity is primarily driven by grassroots support rather than large-scale institutional investments.
The data also shows that only 20% holders who own more than $100,000 worth of SHIB. Despite the small percentage, their presence is significant. This minority cohort likely includes exchanges and other entities that hold the token for various purposes, such as facilitating trading or providing liquidity.
The dominance of retail investors in the Shiba Inu ecosystem paints a compelling picture of its potential as a digital currency for everyday use. Unlike many other cryptocurrencies that institutional investors heavily influence, the demand from its community primarily determines SHIBs value. Experts believe that this popularity at the grassroots level can make SHIB more resilient to market fluctuations and less susceptible to manipulation.
Shiba Inu: Ethereums Secret Weapon?
Just recently, SHIB influencer Lola made a bold claim that Shiba Inu can be a potential failover solution for Ethereum. Her remarks come after the meme coin was included in Ethereum Blockchain Topology as a failover public gas token. She believes that SHIB could be the ideal choice in a dual-token economy, offering several advantages, including higher liquidity, faster connections, lower gas fees, and a more decentralized architecture.
BlackRock, a major financial institution, has recently doubled down in the growth of the Ethereum blockchain. However, Lola emphasizes that the focus is on the entire blockchain architecture, not just the ETH token. Highlighting the importance of a failover mechanism in Ethereums topology, she suggested that Shiba Inu could be the ideal secondary gas option.
Lolas statement aligns with recent developments in the cryptocurrency space. Even prominent price aggregators like CoinMarketCap have begun to recognize the concept of a dual-token economy and its potential benefits. This shift is further shaped by the growing acceptance of cryptocurrencies by central banks and financial institutions, with reports suggesting that they may start treating crypto as a financial reserve as early as January 2025.
Read more: https://www.tronweekly.com/shiba-inu-the-next-bitcoin/
Text source: TronWeekly
