The crypto market has soared recently after gliding downwards for the past few weeks, trying to build up its records once again. The world’s most popular cryptocurrency, Bitcoin, hit a record of over $69,000 at the time of writing and is trading over 103% this year so far. Ethereum, the second-largest cryptocurrency, increased over 7% to $4,314. Ether has been trading at an all-time high for quite some time now, following the Bitcoin trend.
Meanwhile, Dogecoin picked up 7% to over $0.23, and the new meme coin Shiba Inu jumped up to more than 15% to $0.000049. Likewise, other cryptos like Litecoin, Stellar, Cardano, Solana, among others, followed suit. According to reports, the global crypto industry has reached a market cap of over $2.7 trillion.
Since most traders trade the familiar cryptos, the Shiba Inu coin is a new one for many, especially those who are beginners in this dynamic trading world.
Shiba Inu, or SHIBUSD, is an altcoin that features a Japanese hunting dog breed (Shiba Inu) on its image and is considered its charm.
In October 2021 the Shiba Inu, also known as the “Dogecoin killer”, climbed more than tenfold, ranking in the top 10 cryptocurrencies list. While this swift rise attracted exceptional attention, traders were more willing to buy this altcoin when Elon Musk made it a meme coin overnight.
The incident of him tweeting a picture of his new Shiba Inu puppy in the first week of October garnered immense media attention, luring more retail investment in the new coin.
Shiba Inu can be a risky investment
Crypto coins lying on a table
While dealing with digital currencies has always been a risky task, what makes the Shiba Inu coin an insecure investment is its low median hold time. Median hold times are the length of time buyers hold onto their coins before selling them.
Median hold times for Litecoin and Bitcoin are 97 and 79 days, respectively; this indicates how long buyers are confident in the investment’s profitability. In contrast with Shiba Inu, which has a median hold time of only 10 days. This represents what is perceived as a great risk for investing in Shiba Inu.
Additionally, InvestorPlace.com states that the new meme coin has still not made itself feasible as a long-term and trusted investment and that traders should first learn about the associated risks.
How to trade Shiba Inu
Considering the risks, traders can still benefit from the Shiba Inu coin and other less risky crypto pairs. Coinrise is a Canada-based crypto trading broker with 15 years of experience in the market that offers a wide array of account types with leverage of up to 1:1000, 24/7 dedicated multilingual customer support, tight spreads, and financial training.
The established crypto broker provides an advanced and futuristic trading platform, user-friendly for both beginner and experienced traders. Coinrise also features 24×7 real-time market alerts, quotes, and news for making well-informed trading decisions. In addition, one can also get customized news and notifications to stay updated on Shiba Inu and other coins.
Besides these, Coinrise also offers other comprehensive services related to wealth management, private equity, online investing, and financial strategy, making it one of the fastest-growing equity groups in Canada.
Considering the current elevated crypto market situations, it is recommended that traders avoid rushing into investment-related decisions and gain more knowledge. Moreover, beginner traders should pick a reliable crypto broker like Coinrise to stay updated with the latest crypto market news.