Shiba Inu (CRYPTO: SHIB) has skyrocketed in popularity over the past few months and has probably minted a few millionaires, and possibly even billionaires. That's because the cryptocurrency, inspired by a Japanese dog breed, has gained 53,216,940% over the past 15 months. If you invested $100 in August 2020, you'd be sitting on more than $5 million today.
But this isn't a plug to buy in today. In fact, Shiba Inu isn't likely to post those kinds of gains again, because the coin's rapid ascent is less about its intrinsic worth and more about investor hype. And as newer types of cryptocurrencies that do have more real value drop on the markets, Shiba Inu's valuation has started to deflate, losing 20% over the past week.
That's a drop in the bucket for anyone who already benefited from the cryptocurrency's gains, but it might signal the beginning of a decline, or at least volatility that makes it a riskier bet than it's already been. And it should signal to investors that it might be time to look for other cryptocurrencies to invest in.
Source Fool.com