Shiba Inu (SHIB/USD) was a top token in the market in October and the early part of this month. However, it now seems like the meme coin is losing the hype, which has been evidenced by the recent slump in SHIB’s trading volumes on Coinbase.
The Coinbase volumes for the week ended November 19 show that the SHIB bullish rally is cooling down.
Shiba Inu falls below Bitcoin and Ether
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Shiba Inu accounted for around 6.72% of the total turnover at Coinbase. The two leading coins on the exchange in terms of trading volumes were Bitcoin (BTC/USD) and Ethereum (ETH/USD). Before the statistics shared last week, SHIB was the most traded coin on Coinbase.
During the first week of November, SHIB’s trading volumes on Coinbase came in at 25%, while during the week ended November 11, the trading volumes came in at 16.6%. It maintained the top position as the most traded coin in Coinbase since the second week of October.
In its weekly newsletter, Coinbase stated, “In terms of the volume breakdown, BTC and ETC have reclaimed the top spots while SHIB is still in the third place for now as the retail meme coin mania cools off.”
However, SHIB has still outperformed other lading coins in the market. It is still attracting more trades than Solana, Polkadot and Polygon.
SHIB gained from, increased retail interest
SHIB gained momentum during the second half of October. It surged significantly during that month and by October 28, it had reached an all-time high of $0.00008894 after an 830% monthly gain.
The gains made by the meme coin in October were caused by an influx of retail traders. However, it started November with a dip, after some traders who had made major gains during the bullish rally started disposing of some of their holdings.
Currently, SHIB’s dips do not just come from the weakening retail frenzy, but also from a recession across the broader market. Bitcoin has fallen from an all-time high of $69K to start trading at around $56,000. This is a monthly low for the coin, and it is contributing to most coins trading in the red zone.
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