Memecoins
SHIB or FLOKI: Which memecoin should you bet on today?
- Shiba Inu and FLOKI have both seen a build-up amid negative sentiment on social media
- The selling pressure behind Shiba Inu has not been intense in the last six weeks
Shiba Inu [SHIB] AND Floki [FLOKI] they have not been able to keep up with the earnings of Pepper [PEPE].
The PEPE token has had a strong impact bullish technical bias and it was trending CoinMarketCap with a daily trading volume of $611 million at the time of this writing.
AMBCrypto analyzed the on-chain metrics of both SHIB and FLOKI to understand whether they could soon embark on a bullish trajectory.
As it stands, it didn’t look very promising for either meme coin, unless Bitcoin [BTC] can activate a bullish trend.
Both memes have seen a phase of accumulation
Source: Most Holy
The price trend of both FLOKI and SHIB has been bearish since mid-March, but this only became evident in early April.
The support levels established during the retracement were not defended. This saw the MVRV ratio fall deeply into negative territory towards mid-April.
As of this writing, SHIB’s MVRV ratio was still negative, while FLOKI was at +0.54%. This meant that holders of the latter token were slightly in profit.
Furthermore, the average age of FLOKI coins has been trending upwards over the past two weeks. As for the SHIB, the upward trend has been strong since mid-March, a much stronger signal of accumulation.
Both tokens present a buying opportunity given near-zero or negative MVRV values and the increasing average age of the coins. What do social parameters reveal about market perception?
Social media engagement remained bearish
Source: Most Holy
The weighted sentiment of both tokens on a 3-day time frame was negative, showing that social media engagement was more bearish. However, FLOKI has been consistently and strongly negative since the end of March.
On the other hand, SHIB was slightly positive in the second half of April.
The dormant circulation could help resolve some doubts. Investors bullish on FLOKI would not be encouraged to see the numerous spikes in this metric over the past six weeks.
It indicated considerable quantities of tokens moving on the chain, probably for sale.
Realistic or not, that’s it SHIB’s market capitalization in BTC terms
In contrast, SHIB’s dormant circulation has remained relatively quiet since mid-March. The last significant spike occurred on April 19, when holders used a 6% rebound to take some profits.
Overall, the on-chain metrics of SHIB and FLOKI were similar. But the average age of the coins, dormant circulation and weighted sentiment showed that Shiba Inu may be more poised for recovery than FLOKI.