SHIBA Inu has amassed more than 30,000 new investors over the last 30 days, despite plunging by more than 50 per cent.
Since SHIB’s all-time high set back in October 2021, the meme-coin has fallen a whopping 85 per cent.
SHIB’s decline now means there are more global investors who are “out of the money” than there are “in the money,” according to data from IntoTheBlock.
But despite the market wide volatility – caused by rising interest rates and the collapse of Terra’s UST stablecoin – the total number of unique addresses holding Shiba Inu has increased from 1,133,029 on April 18 to 1,163,590 on May 17, according to CoinMarketCap.
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The recent decline across the crypto market comes as investors appear to be moving away from cryptocurrency and towards less risky investments in the face of global inflation.
Shiba Inu’s 50 per cent decline in the last month is almost double the decline of market leaders Bitcoin and Ethereum who are down 24 per cent and 30 per cent respectively.
READ MORE: What to expect from Shiba Inu in 2022
Paul Veradittakit, partner at digital asset manager Pantera Capital, said: “Compared to 2018, there are more institutional investors with exposure to crypto and most see this as a buying opportunity.”
Brian Nick, chief investment strategist at Nuveen, said: “What gets punished when financial conditions are tightening? Anything with a high valuation and an uncertain or non-existent revenue stream.
“And crypto has inarguably high valuations and no revenue stream. That’s very much of a piece with what we’re seeing in growth stocks, tech. It’s correlated but obviously, it’s more volatile because the market is less liquid.”
As ever with cryptocurrency, the future is uncertain, but the increase in investors turning to SHIB despite the market turmoil should give holders a glimmer of hope, with more than one million people still believing in the long term prospects of the project.
