If you’re reading this, you’ve probably heard of the term cryptocurrency. Cryptocurrency refers to any digital currency that runs on a blockchain. A blockchain is a publicly accessible database or ledger that facilitates transactions over a network of computers. Because crypto isn’t managed by a single institution such as the government, it’s known to be decentralized. As a result, it can be unaffected by economic events.
Over time, an increasing number of cryptocurrencies have emerged, including the Shiba Inu (SHIB) crypto. Dubbed by its creators as the dogecoin killer, SHIB is also a meme coin and was created to challenge Dogecoin. Similar to Dogecoin, SHIB was named after the Japanese dog Shiba Inu. Despite the fact that it was just recently developed, it has already gained popularity.
Diversifying assets is a popular investment strategy adopted by all types of investors since it prevents them from ‘putting all eggs in one basket.’ As such, you may be interested in SHIB to diversify your cryptocurrency portfolio, or you may simply want to get started in this venture. Regardless of your reasons, you’ll want to invest in the right cryptocurrency as they’re very volatile and thus risky.
Volatility refers to how quickly an asset’s price may change, making it unstable. However, this can also present an opportunity for investors to profit significantly by buying during a dip and selling when prices are high. That said, if you’re wondering whether SHIB is a worthy investment, here are some facts you’ll want to know before investing in the Dogecoin challenger:
How To Buy SHIB
The first thing you need to know before you invest in SHIB is how you can buy them. You need to choose a crypto exchange that offers the dogecoin killer. When choosing one, it’s best to make sure that they’re legitimate and secure.
Next, you’ll want to open a crypto wallet. Examples of external crypto wallets are hardware wallets, software wallets, and offline storage. It’s worth noting that there are numerous options for storing cryptocurrencies, with exchanges being one of the simplest methods as they allow users to store their crypto within the platform. This will eliminate the hassle of transferring or connecting to an external crypto wallet.
From there, you can purchase SHIB through the crypto exchange of your choice. Finally, you can store this crypto in your wallet if you’re not storing it within the exchange’s platform.
The Pros of Investing In SHIB
You may find that more investors are getting interested in SHIB for several reasons. The first advantage of investing in SHIB is that it’s an ERC-20 token. This means that it runs on the Ethereum blockchain, allowing you to use it alongside Ethereum applications. Furthermore, any advanced developments made on Ethereum may highly benefit this token.
Another advantage of investing in SHIB is that it’s very affordable and cost-effective. Compared to other cryptocurrencies, the price of one SHIB is much lower. Furthermore, investors often depend on an asset’s price to track its percentage changes, and lower-priced crypto makes this much easier.
Because of the current pricing of SHIB, investors won’t find it hard to make a profit. In fact, in contrast to older cryptocurrencies, SHIB’s value may likely increase by two or three times greater in the long run.
The Risks and Disadvantages
On the other hand, you may also want to learn about the risks and disadvantages of investing in this cryptocurrency. For one, you may want to expect that its value can plummet as quickly as it rose.
Essentially, the value of SHIB is highly volatile and unstable which may make it an unideal investment for those looking for long-term profits. This may be due to the fact that it’s a speculative asset with its value dependent on its popularity.
Another disadvantage is that it doesn’t have its own blockchain. While its relation to Ethereum can be seen as an advantage, this can also prove to be a disadvantage as SHIB may not see any innovative updates anytime soon. This is because they’re more focused on Ethereum applications.
SHIB Price Forecasts And Predictions
Finally, you may want to know what experts say about this asset and its future outlook through its price forecasts and predictions.
Much like other cryptocurrencies, the growth of SHIB was affected by the pandemic which resulted in a slow momentum. However, it might start to take off by 2022. Additionally, other developments such as virtual reality have positively impacted its value.
Overall, SHIB’s value may improve in the long term if it maintains its popularity and active investors help its value increase.
As with any investment, including the crypto called SHIB, you must first conduct your research to mitigate the risks and assess its profitability. You may do this by learning about SHIB’s pros and cons as an investment and its price predictions and forecasts.
This information will help you know what to expect if you decide to invest in the Dogecoin killer and determine if it’s a worthy investment. Now that you’re better informed after reading this article, you may now consider investing in some SHIB or continue conducting more research.