Memecoins
Why are Dogecoin and Shiba Inu prices dropping today?
The meme coin sector was no exception amid a broader market decline today, with prices of major players like Dogecoin and Shiba Inu falling by more than 3%. However, despite the overall gloomy market scenario, the latest drop in meme coin prices raises speculation about the possible reasons.
Furthermore, the sudden pullback of Dogecoin and Shiba Inu after the positive momentum on June 26th further fueled market discussions.
Why is the price of Dogecoin decreasing?
Looking at the broader market scenario, it appears that market participants are staying on the sidelines before making further bets in the digital asset space. Furthermore, given the highly volatile nature of the broader market cryptocurrency
market, not to mention the meme coin industry, investors may be looking for more clarity before betting on Dogecoin.
In particular, the recent aggressive comments from American Federal Reserve Officials regarding pricing plans also appear to weigh on market sentiment. Officials noted that it is too early to consider an interest rate cut in 2024, sparking concerns in the market.
Meanwhile, at the time of writing, Dogecoin price it slipped 3.23% and traded at $0.1223. Its trading volume also fell by 30% to $489.51 million, while its price reached a high of $0.126. On the other hand, data from CoinGlass showed that Dogecoin Open Interest slumped by 2.41% to $603.19 million, indicating a decline in market interest in major stocks memetic currency.
Read also: Cryptocurrency firm Abra will return $82 million to users in US settlement
Shiba Inu coin collection
Broader market trends, as discussed for Dogecoin, may have also influenced the Shiba Inu coin’s performance today. However, apart from this, there are some other factors that might have influenced the price of SHIB today.
Precisely, Binance announced yesterday the delisting of TUSD pairs, among others, of Shiba Inu, which attracted the attention of investors. Usually, the mayor’s announcement cryptocurrency exchanges
like Binance tends to impact cryptocurrency prices in both ways.
However, despite the drop in prices of Dogecoin and Shiba Inu, the SHIB burning rate remains green, indicating continued support from the SHIB community to reduce overall supply. For context, the burning mechanism helps reduce the overall supply, which in turn helps drive cryptocurrency prices higher.
While writing, Shiba Inu Price it traded at $0.00001717, down 3.13% from yesterday, with trading volume down 37% to $193.65 million. The meme coin touched a high of $0.00001772 and a low of $0.00001705 in the last 24 hours. Furthermore, Open Interest for Shiba Inu fell 8.25% to $32.73 million, indicating a similar condition to that seen for Dogecoin.
Read also: Ethereum Spot ETFs expected to launch in 14 days after S-1 amendments?