Dog-inspired meme tokens had a generally good week. But Shiba Inu significantly surpassed other hugely popular meme tokens like Dogecoin. By 15:50 pm ET last Wednesday, Shiba Inu was up 13,8% from the previous 24 hours, while Dogecoin's earnings were 4,9%.
To give a broader view, both tokens outperformed the broader cryptocurrency market, which increased by 3,5% over the same time frame. Overall, risk assets rose Wednesday as investors breathed a sigh of relief following the Department of Labor's December Consumer Price Index report. Inflation based on this measure stood at 7% year-on-year, meeting market expectations and avoiding the “what if” discussion that analysts had prepared had it been higher.
In addition to macroeconomic news, Shiba Inu got a big shock from rumors that Robinhood (NASDAQ shares: HOOD) could list the token as early as next February. A BreakingCrypto tweet launched just Wednesday morning triggered a wild spike in SHIB's price.
Any news about listing on a widely adopted exchange is great news for the token in question. In the months following these events, most tokens take off. As a result, investors looking to get ahead of this catalyst appear to be buying Shiba Inu heavily.
So what should you do now
Rumors that Robinhood will list the Shiba Inu aren't new - they were already affecting its price about a month ago. The token is highly traded, and exchanges profiting from trading volumes have an incentive to add the cauldron's "hot" cryptocurrencies.
Previously, Robinhood had denied that its retail-friendly trading platform would accept Shiba Inu in the foreseeable future. However, this hasn't prevented the re-emergence of these rumors that have again pushed the price of the meme cryptocurrency up.
What will happen now?
It remains to be seen whether this latest iteration of the rumor will prove to be true, or if it may have been just another attempt to throw the smoke in the eyes to push Shiba Inu's price up in the short term.
What is clear is that the momentum in the meme-token fringe of the cryptocurrency market has declined considerably. Investors looking to take profits and de-risk their portfolios seem to have more established assets in mind. As a result, many wonder how much persistence the Wednesday surge will have for Shiba Inu.
That said, given this meme pawn's track record, anything is possible. Perhaps this is the beginning of another great rally. Only time will tell. But in the meantime, you write in the comments below what you think!