Shiba Inu vs Dogecoin: Which Meme Token is More Valuable?

Utkarsh Gupta
Shiba Inu

Love them or hate them but meme coins have made a mark on the crypto industry in 2021. At press time, Dogecoin and Shiba Inu were both established assets with a $34 and $31 billion market cap. Both the tokens were ahead of the likes of Chainlink, Uniswap, and Litecoin, which is indicative of its positive user sentiment. However, speculators often fail to understand the difference between Dogecoin and Shiba Inu, as both assets have different objectives.

While Dogecoin remains ahead of Shiba Inu in the market, SHIBA has established higher growth over the past two quarters. Dogecoin has lost tremendous market traction and it might be down the following facts.

Shiba Inu is bringing functionality while Dogecoin brought hype?

When Dogecoin pumped 793% initially in Q1 2021, it wasn’t due to any technical upgrade or major network improvement. Elon Musk, Tesla CEO, decided to become a glorious Dogecoin proponent and he publicly supported Dogecoin as a valuable digital asset.

The collective crypto market was bullish at that time, and Dogecoin became an overnight sensation. It reached an all-time high of $0.74 during the 1st week of May. Expectations were high for DOGE to reach $1 but over the past few months, its bullish sentiment has vastly faded.

That hasn’t been the case for Shiba Inu. While SHIB hit mainstream trading during May 2021(just before the price collapse), it wasn’t solely a meme coin. Shiba Inu is the parent token of decentralized exchange or DEX called ShibaSwap. It has similar functionality to DEXs such as Uniswap and SushiSwap. The rise of DEXs has been well documented in 2021, and ShibaSwap’s main objective was to compete amidst the DEX ecosystem.

Source: CoinGecko

At press time, ShibaSwap registered a $64 million 24-hour trading volume while being ranked 15th in the chart.

SHIBA is more valuable than DOGE; but is it safe from corrections?

Now, while Shiba Inu carries higher functionality than Dogecoin, its market cap and Total Locked Value has a massive discrepancy. SHIBA had a market cap of $31 billion but ShibaSwap had only $552 million in total valued locked. Uniswap had a TVL value of $7.61 billion, while ranked under Shiba Inu with a $13 billion market cap.

Shiba Inu has a strong positive community that is keeping its high valuation. However, a collective decline in bullish momentum in the market may witness a SHIBA drop in value as well. SHIBA is definitely more valuable than Dogecoin right now, but it isn’t completely safe from a market correction.