Despite an uptick in on-chain activity, both Dogecoin and Shiba Inu continue to face significant price declines. This trend emphasizes a widening gap between usage metrics and market performance in the meme-coin space.
Summary
- Dogecoin saw a 36% increase in active addresses, yet its price fell by 3%, while Shiba Inu experienced a 2% drop.
- This rise in network activity appears to be driven by distribution rather than accumulation, indicating a potential for further price declines.
- Trading at $0.00000641, Shiba Inu is down 92% from its all-time high in 2021, compounded by low transaction volumes and uncertain future utility.
In the last week, Dogecoin (DOGE) registered a notable 36% increase in active addresses, climbing to over 71,400. This surge hints at renewed engagement within the Dogecoin community.
However, this uptick in engagement failed to translate to positive price movement. DOGE saw a 3% decline, settling around $0.102. Similarly, Shiba Inu (SHIB) dropped 2%, trading near $0.0000066.
The ongoing scenario of substantial net outflows, coupled with deteriorating technical structures and breached support levels, implies that both tokens remain on precarious ground. The increased activity primarily reflects distribution activity over accumulation.
Originating from a meme in 2013, Dogecoin once reached a market cap of $90 billion in 2021, yet has now shed over 90% of that value.
Despite experiencing a mild rally towards the end of 2024, Dogecoin remains down 62% in 2025 and struggles to establish a functional use case akin to Bitcoin or Ethereum. Its inherently speculative nature and infinite supply result in continual dilution, attributing to its vulnerability. Without substantial catalysts on the horizon, it is conceivable that Dogecoin could plummet by 50% in 2026, potentially reverting to its 2022 low of $0.05.
Shiba Inu: Challenges Ahead
Shiba Inu (SHIB) has shown notable price volatility, recently hitting a low of $0.0000065 on February 1, while peaking at $0.0000097 on January 6. These fluctuations are indicative of SHIB’s responsiveness to market sentiment and liquidity availability.
Currently priced at $0.00000641, Shiba Inu sits 92% below its all-time high achieved in October 2021. The token is trading beneath crucial moving averages. Although the RSI indicates oversold conditions, a market reversal remains elusive. SHIB is testing vital support at $0.00000638; failing to maintain this level could lead to a decline to $0.0000055.
The Shiba Inu ecosystem encounters significant hurdles, including lackluster daily transaction volumes and limited utility. Though there are plans to incorporate Fully Homomorphic Encryption (FHE) by Q2 2026 to improve security and privacy, its future remains uncertain. The anticipated launch of a cryptocurrency ETF by T. Rowe Price could attract regulated investments; however, the likelihood of approval is in doubt.
A recent report suggests that should privacy enhancements materialize and the ETF gain approval, SHIB’s price might range from $0.000015 to $0.000025 by 2027, while conservative estimates could suggest a valuation between $0.000010 and $0.000015.
Key resistance levels to watch include $0.00000732, $0.0000078, and $0.00000851. Close monitoring of Shibarium transaction volumes, burn rates, and the performance of Bitcoin will be critical for investors aiming to gauge SHIB’s recovery potential.
