Meme Coins News Price Update

Shiba Inu Plummets 35% Year-to-Date: Is It Time to Buy the Dip or Brace for More Losses?

by Crypto Hobby

Updated August 04, 2025

Shiba Inu coin falling against a downward trending backdrop. — Shiba Inu SHIB - Digital Image

Shiba Inu Faces Significant Downturn Amidst Market Shifts

Shiba Inu (SHIB) has experienced a substantial decline, down 35% year-to-date and an additional 7.56% today, trading around $0.000012.

This performance starkly contrasts with Bitcoin's 26% gains this year, leaving investors questioning whether the current price represents a buying opportunity or a precursor to further losses.

Despite technical milestones on the Shibarium network, SHIB faces mounting sell pressure as investor preferences lean towards stablecoins and utility-focused cryptocurrencies.

Key Takeaways

Shiba Inu is down 35% year-to-date and 7.56% today.
The decline contrasts sharply with Bitcoin's positive performance.
Investor sentiment is shifting towards stablecoins and utility-focused crypto.
Shibarium network milestones have not translated into price appreciation.
The meme coin sector, including Dogecoin, is also under pressure.

Market Context and Investor Behavior

The current downtrend for Shiba Inu is particularly concerning when viewed against the backdrop of a strong overall crypto market, where Bitcoin has achieved new all-time highs and gained institutional adoption.

This suggests investors are becoming more selective, prioritizing projects with perceived stronger fundamentals over meme coins.

While the Shibarium Layer-2 network has reached significant milestones, such as surpassing one billion transactions, these achievements have failed to bolster SHIB's price, indicating a disconnect between technical development and market valuation.

Meme Coin Sector Under Pressure

Shiba Inu is not alone in its struggles; rival meme coin Dogecoin has also seen a similar decline of approximately 35% year-to-date.

This broad weakness in the meme coin sector raises questions about whether investors are moving away from speculative assets towards more stable investment options.

The increasing interest in stablecoins, highlighted by Circle Internet Group's public offering, further underscores this trend, as these assets offer lower volatility and appeal to a wider investor base seeking exposure to the crypto market without high risk.

Technical Signals and Market Position

Technical analysis indicates continued weakness for SHIB, with the token struggling to maintain support around the $0.000012 level.

Its market capitalization has fallen to approximately $7.6 billion, dropping its ranking to 18th among cryptocurrencies. This decline reflects not only price depreciation but also the rise of other projects with more robust fundamentals.

Trading patterns suggest that selling pressure continues to dominate buying interest, with attempts at price recovery being met with further selling.

Investment Considerations

Deciding whether to buy or sell Shiba Inu at current levels depends heavily on an individual's risk tolerance and investment strategy. While the discounted price may seem attractive to some, several challenges persist.

Meme coins are inherently speculative, with their value often driven by community sentiment and social media trends rather than traditional financial metrics.

Investors considering SHIB should carefully assess the risks, acknowledging that the ongoing preference for utility-focused projects could continue to impact meme coins negatively. The future outlook for Shiba Inu remains uncertain, with market analysts divided on its short-term prospects.