After Luna, Shiba Inu may be the next memecoin to go bust, according to experts

After Luna, Shiba Inu may be the next memecoin to go bust, according to experts
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  • Shiba Inu and other meme-based cryptos have always been questioned for authenticity.
  • Shiba’s price is expected to fall to nearly zero by 2030, but big drops should begin soon, experts said.
  • The price of Shiba Inu is expected to drop to $0.000018750 by the end of the year, according to a report by Finder.
After the crash of cryptocurrency Luna this month, meme-based token Shiba Inu might be the next to go. At least that’s what a group of experts surveyed by crypto research firm, Finder, seem to think.

“Things are not looking good for the meme coin Shiba Inu, with our panel expecting it to be worth $0.000018750 by the end of 2022. This would mark a 7.6% drop in its value from its current price of $0.00002029,” the company said in its latest price prediction report, originally published on May 10.

The report further said that its group of 36 experts expected Shiba Inu’s value to “plummet” and close at $0.000002500 in 2025 and $0.000000325 by 2030-end. To be sure, Finder’s values don’t predict if the token can see a surge in-between, which means that short-term traders may still make profits as it falls to zero.

The Luna warning

That said, the crash of stablecoin UST and Luna, the two tokens of the Terra blockchain network, would serve as a reminder for retail traders. In a report on the downfall of Luna yesterday, the New York Times pointed out that most of the losses in Luna’s meteoric fall were borne by retail investors, many of whom lost their life savings as the token wiped off $40 billion from the crypto market.

While Luna’s fall was a result of a flawed ecosystem design, Shiba Inu’s fall will be a result of market maturity and the realisation that memecoins can’t yield serious results, the finder experts said.

"This market is maturing and things like SHIB will die as capital begins to flow to quality and value rather than being scattered across the field in the hope that every player wins a prize. That's not how things work. Hype dies, value rises,” the report quotes Matthew Harry, the head of funds at DigitalX Asset Management, as saying.

Not the first memecoin warning

To be sure, Shiba Inu isn’t the only coin that investors are being warned of. Neither is it the first time that such warnings have been issued.

Like Shiba, experts have often warned investors that Dogecoin could go the way of the dodo any day. The price of DOGE was pegged at around $0.08 at the time of writing, by Coinmarketcap. The coin’s price had jumped to around 16 cents after the news that Tesla CEO Elon Musk was going to buy Twitter but quickly fell to 13 cents in a matter of days after that.

“I am of the opinion that all these joke-type coins will disappear and leave space for actual innovation and crypto assets that can serve proper use cases,” Dimitrios Salampasis, a fintech lecturer at the Swinburne University of Technology, told Finder.