Why does SHIB always fail to rise, and will there be a chance in the future?

However, despite its high popularity and strong community support, SHIB's price seems to be difficult to continue to rise, which makes many investors doubt: "Why does SHIB always fail to rise, and will there be a chance in the future?

First of all, to understand why SHIB is difficult to continue to rise, we need to start from its nature and market positioning. SHIB is an ERC-20 token built on the Ethereum network. It was originally born as a "Meme Coin", which means that its value depends largely on community participation and market sentiment, rather than actual application scenarios or technical support. This feature allows SHIB to increase in value rapidly in the short term due to social media hype, but it is also susceptible to market sentiment fluctuations, resulting in unstable prices.

The total supply of SHIB is huge, reaching an astonishing 1 quadrillion (1,000,000,000,000,000) coins, which theoretically puts great pressure on price increases. A large number of tokens means that huge demand is needed to drive prices up, which is difficult to achieve continuously in practice.

Compared with other cryptocurrencies with clear application scenarios such as Bitcoin and Ethereum, SHIB currently relies mainly on the enthusiasm and loyalty of the community to maintain its value. The lack of substantial application scenarios limits its long-term growth potential.

As a type of cryptocurrency, SHIB is also affected by the volatility of the entire crypto market. Uncertainties in global regulatory policies, macroeconomic factors, and the movements of large investors may have a drastic impact on its price.

As the crypto market continues to expand, new projects and tokens are emerging in an endless stream, including projects with strong technical support and clear application prospects. These projects have attracted the attention and funds of investors, further squeezing the growth space of SHIB.

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