Against a bearish backdrop, it seems that Shiba Inu may be able to outperform even Solana. Leaving one of the most valuable cryptocurrencies in the digital ecosystem eating the dust.
On the one hand there is Shiba Inu, the so-called ‘meme-coin’, which was born almost as a joke in the wake of the rise of Bitcoin and Ethereum. While on the other there is Solana, a layer 1 blockchain that has been repeatedly referred to as the possible ‘Ethereum killer’.
In recent years, it has been obvious how Solana, based on Proof of History and Proof of Staking as consensus models, was one of the most reliable blockchains with a native $SOL cryptocurrency attached.
On the other hand, Shiba Inu, while gaining more and more strength over the years, had never been on par with the aforementioned. However, it seems that things may be changing, especially with regard to market capitalisation.
The latest shocks given to the sector by the FTX bankruptcy and the fraud of which Alameda Research was accused seem to have shaken the balance more than expected.
Once again, in fact, the market capitalisation of $SHIB has exceeded that of $SOL.
Even more interestingly, it seems that this could become a definitive situation based on 3 specific elements.
Solana in crisis, investors disappointed
Currently, many of the traders who had believed in $SOL are not happy at all.
Solana is a layer 1 blockchain that had distinguished itself by its scalability and the amount of services offered. But it seems to have lost about 92% of its value over the past year.
From a price of around $240 it is now worth just over $20. This, together with the crypto thefts that have occurred within its network, has only made investors lose confidence.
Many are demanding an abrupt change of course, but the Ethereum killer team is struggling to implement it.
Shiba Inu, Market Cap on the rise
It is not surprising that the meme-coin par excellence is also struggling in the market.
Even $SHIB, in fact, like the previous crypto mentioned, is struggling a lot and has lost a lot of value over the past year: on Coinbase, it seems to have lost 82.08% in one year.
However, it seems that the crypto has undergone a capital injection recently, allowing it to surpass the well-known Solana in terms of market capitalisation.
Yes, because today Solana’s market cap is around $5.15 billion, while Shiba Inu’s is around $5.41 billion. Not bad for a meme-coin!
Shiba Inu celebrates Dogecoin
What could be the reasons for this overtaking, though?
It is not the first time that $SHIB has overtaken its opponent, but this time it could become something definitive.
A first element that could lead to these implications concerns the ‘birthday’ of another meme-coin par excellence: Dogecoin.
6 December, in fact, will be Dogecoin’s birthday and great volatility is expected in the market regarding the crypto’s price. However, it seems that Shiba Inu could also benefit from this, as it too is a meme-coin closely associated with Elon Musk’s favourite.
Will it be enough to leave $SOL behind? Probably not. That is why there are two other elements that could push the market cap of the canine crypto definitively above that of its opponent.
$SOL suffers FTX collapse
It’s no secret that the disaster between Alameda Researche and crypto exchange FTX has rattled the entire industry.
In fact, the effects on other cryptocurrency-related companies have not yet ended or fully come to light!
One of the reasons why the ‘Ethereum killer’ team could be left behind permanently lies in the huge amount of $SOL sold by Sam Bankman-Fried’s (FTX CEO) team to restore the losses of the exchange and Alameda Research.
The great pressure over this is putting a strain on Solana and his team, who seem to be dancing on the edge. If some scandal or bearish pressure does not ease, this massive sell-off could lead to the end of this crypto!