Shiba Inu’s Declining Burn Rate and Value Drop
Shiba Inu ($SHIB) has experienced a significant decline in its burn rate, which has contributed to a steep drop in its value since March. Back then, the meme coin had a market cap of $8.5 billion and tested resistance levels around $0.0000380. However, its current price of $0.00001445 marks a dramatic 59% decrease since hitting a high of $0.00003541 on March 5.
In contrast, Dogecoin ($DOGE), the original meme coin inspired by similar internet memes, has seen a comparatively milder drop of 44% since March 5. Bitcoin ($BTC), the largest cryptocurrency, has demonstrated greater resilience, decreasing only about 11% over the same timeframe, from $68,187 on March 5 to $60,817 currently.
Factors Contributing to Shiba Inu’s Value Loss
The substantial loss in Shiba Inu’s value is linked to a decline in transactions on its Ethereum layer 2 platform, Shibarium. Fewer transactions have led to fewer burns, which are essential for maintaining the token’s value, especially given its total supply of one quadrillion tokens. This contrasts sharply with Bitcoin’s limited supply of 21 million coins.
In the past 24 hours, Shiba Inu’s price saw a modest 5% rebound. However, it is worth noting that its relative strength index (RSI) is just one point shy of 70, a level which signifies that the asset may be overbought. This could lead to profit-taking overnight as investors seek to stabilize $SHIB’s current price as the weekend approaches.
Potential Alternatives for Meme Coin Investors
As Shiba Inu continues to face deflationary pressures, many long-time meme coin holders are contemplating whether new projects might serve as better stores of value. Some of these projects are in pre-sale, presenting opportunities for investors to buy at fixed prices before they hit the exchanges.
One promising newcomer is The Meme Games ($MGMES), dubbed as crypto’s official meme coin for the Paris Olympics. Since its launch in conjunction with the Olympic Games earlier this summer, it has successfully raised $404,000 for its buy-to-win bonus multiplier.
Investment Opportunities with The Meme Games
Investors who purchase $MGMES tokens can choose from an array of meme coin avatars, including Dogecoin, Pepe, DogWifHat, Brett, and Turbo. As these avatars race, holders have a one-in-five chance to win a 25% bonus on their initial investment.
Currently, $MGMES is available at a fixed presale price of $0.00935, with daily incremental increases to $0.0094. This means that today, investors can acquire 10,000 $MGMES tokens for just $93.50, the lowest price expected for this token during the presale season, which coincides with this year’s Paris Olympics and Paralympics.
Participants can buy $MGMES an unlimited number of times and without a minimum purchase requirement, allowing them to enhance their chances of achieving multiple 25% token bonuses. The project’s website and whitepaper also recommend staking tokens during the presale to benefit from a remarkable 476% annual percentage yield (APY), incentivizing early and substantial staking as the APY diminishes with more stakers. Note that staking is only available on Ethereum.
A Rewarding Alternative to Shiba Inu and Dogecoin
Although $MGMES is still in the presale phase, it presents a more compelling and timely investment opportunity compared to established tokens like Shiba Inu ($SHIB) and Dogecoin ($DOGE). For those interested, following The Meme Games on Twitter and Telegram, and joining the presale via the official website could be beneficial.