A $1.5 billion increase in Meme Coin’s market cap drives a 22% increase in SHIB

A $1.5 billion increase in Meme Coin's market cap drives a 22% increase in SHIB

The popularity of SHIB is on the rise again after a significant decline in 2022. Due to the enormous volume of transactions made using this token, it is now the 12th most valuable cryptocurrency.

SHIB is currently ranked 12th, up one spot from where it was previously ranked 12th under the guise of AVAX. As the cryptocurrency industry as a whole has risen, headed by large assets like Bitcoin and Ethereum, so too has SHIB.

Adding $1.53B to Shiba Inu’s Total Market Value

The market value of the coin crossed the $8.5 billion threshold on August 14th. Over the last day, its value increased by more than $1.53 billion, according to CoinMarketCap.

The trading price of the currency also rose in tandem with the influx of capital. Up over 22% in the last 24 hours, it now stands at over $0.0000156 as of this writing.

Even though SHIB had a slow start to 2022, the month of July saw the beginning of signs of recovery. The price hikes tracked the rising trend of the market generally.

It’s common knowledge at this point that large assets like Bitcoin establish trends that lesser coins follow. On August 14, Bitcoin hit a new all-time high by surpassing $25,000. This caused ripples throughout the market.

To some extent, Shiba Inu’s success is tied to the state of the market at large. However, the currency’s relative value has been bolstered by heavy use on digital platforms.

The developers have prioritized rolling out more token burns to encourage user participation. It was speculated that ShibaSwap’s release in 2021 would be a major factor driving up the price of SHIB in the coming months.

The Shiba Inu Is Gaining Popularity

In addition, the recent market meltdown appears to have diminished the allure of meme currencies among most investors. According to a new analysis from Google Trends, there has been a significant decline in search volume for “meme coin” since last year’s fad.

The number of Google searches for “Shiba Inu” fell in July, as seen by the graph below. But while the meme coin’s value has plummeted over the past year, the volume of trades has not.

July saw a 34% increase in the coin’s transactions to over 211,833, per Finbold. That’s a rise from June’s figure of 157,889 and the highest point so far this year.

Early investors were enthralled by the prospect of massive returns on their SHIB and other meme token investments. Because of this, several traders continued to buy even after the market had fallen.

In the two months between June and July, Shiba Inu reportedly gained 20,000 new users, as reported by Finbold. This demonstrates that people are once again interested in the meme coin.

Orizu Augustine
Orizu Augustine is an experienced crypto writer working for Alltechcraft. Having passion for writing, he covers news articles from blockchain to cryptocurrency and iPhone and Samsung related articles.