Shiba Inu (SHIB) is now trading 92% below October 2021’s all-time high, leading many investors to ponder: Is the coin officially dead?
With no positive momentum in sight and the price nearing breaking key support levels, sentiment is becoming increasingly bearish.
Meanwhile, a new meme token called Meme Kombat (MK) has emerged, looking to steal some of Shiba Inu’s former glory.
SHIB is hovering around the $0.0000068 level, having posted three bearish daily closes in a row.
The token’s price has broken out of the nearby trading range to the downside, looking likely to return to support at $0.0000065.
SHIB is now well below the 20-day and 50-day Exponential Moving Averages (EMAs), signaling deteriorating momentum in the near term.
However, indicators like the Relative Strength Index (RSI), sitting at a value of 33, show that Shiba Inu is close to becoming oversold, raising the possibility of some minor relief soon.
Longer-term success for SHIB will hinge on price sustaining above the nearby support level and using it as a floor to reclaim the 20-day and 50-day EMAs.
Given Shiba Inu’s notorious volatility, one tweet from a well-known influencer or a brand-new use case could spark a turnaround – meaning many traders are waiting on the sidelines for signs of a potential recovery.
One of the main reasons for Shiba Inu’s recent decline is frustrations around the delayed development of the Shibarium layer-2 network.
Shibarium was intended to bolster the SHIB ecosystem and enable increased token burns, yet the slow pace of validator additions has raised security concerns.
Lead developer Shytoshi Kusama has asked for patience, stating that the team prioritizes safety over speed.
However, without significant burns for Shibarium and a lack of details on when these will start, investors are beginning to lose confidence.
This lack of clarity on Shibarium’s future has shaken trust and resulted in a broad sell-off of SHIB tokens.
While Shiba Inu may look doomed, not all meme coins are experiencing a bearish wave.
New project Meme Kombat (MK) looks to bring a unique gameplay experience to the meme coin space, boasting Play-to-Earn (P2E) and staking features centred around AI-powered meme battles.
Users can place wagers on these battles using MK, Meme Kombat’s native token, and earn 112% APY by locking up their tokens in the staking pool.
Beyond the gameplay and staking, Meme Kombat has several other factors working in its favor, including an experienced founding team led by fully-doxxed CEO Matt Whiteman.
Additionally, an independent smart contract audit from Coinsult provides investors with assurance that the project is being built securely from the ground up.
With over $450,000 raised through its presale so far, Meme Kombat is off to a strong start, attracting attention from investors worldwide.
MK tokens are on offer for $1.667 through the presale, which is now almost halfway to its $1 million funding goal.
Several influencers have noted Meme Kombat’s progress, including YouTuber Michael Wrubel, who told his 310,000 subscribers that he is “bullish” on MK.
If Meme Kombat can successfully deliver the platform and meet the targets outlined on its ambitious roadmap, there’s a growing belief it could achieve mainstream status, much like SHIB.
As such, crypto enthusiasts will be keeping a close eye on this up-and-coming project in the months ahead.
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