The cryptocurrency world was once again shaken by a meme-fueled frenzy as Shiba Inu (SHIB), often dubbed the "Doge killer," surged dramatically after its listing on a major exchange. The digital asset, affectionately known as "shitcoin" in online circles, exploded in value shortly after launching on Binance’s Innovation Zone on May 10, drawing massive attention from retail investors and social media alike.
A Meme Coin That Broke Into the Top 20
SHIB, inspired by the Dogecoin phenomenon and centered around the popular Japanese Shiba Inu dog breed, was launched in August 2020 with a total supply of one quadrillion tokens. Despite its satirical origins, it quickly gained traction within crypto communities due to its low price per unit and viral appeal.
On May 10, Binance announced the official trading commencement of SHIB at 7:00 AM UTC. Within minutes, the token surged over 100%, triggering a temporary withdrawal suspension due to overwhelming trading volume. According to reports from China Fund News, Binance internal sources confirmed the pause was caused by system overload rather than security issues.
By 8:00 AM on May 11, CoinMarketCap data showed SHIB’s 24-hour gain exceeding 117.62%, with trading volume spiking by 252.91%. Although gains later cooled to around 33.07%, trading activity continued to climb, pushing SHIB into the top 20 cryptocurrencies by market cap and earning it a spot on Weibo’s trending topics.
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From Internet Joke to Market Contender
While Dogecoin paved the way for animal-themed meme coins, SHIB has emerged as one of the most talked-about successors. Its rapid rise even led to comparisons with Dogecoin’s trajectory — so much so that some now refer to SHIB as the “Dogecoin killer.”
But unlike traditional blockchain projects focused on utility or technological innovation, SHIB thrives largely on community sentiment, social media buzz, and celebrity influence — particularly that of Elon Musk.
Elon Musk: The Unofficial King of Meme Coins
No discussion about recent crypto trends is complete without mentioning Elon Musk.
On May 7, after former Japanese pension fund manager Hiromichi Mizuno tweeted a lighthearted warning about trading SHIB but not mistreating real Shiba Inus, Musk responded simply: “I am looking for a Shiba Inu.”
That single tweet sent shockwaves through the market. Within hours, SHIB’s price began an upward spiral.
Musk’s influence on digital assets is well-documented. After repeatedly endorsing Dogecoin — calling himself the “Dogefather” during a Saturday Night Live appearance — he significantly impacted its price action. However, during the same show, when pressed on whether Dogecoin was a scam, Musk replied: “Yes, it’s a hustle.”
The result? Dogecoin plunged nearly 25% immediately after the broadcast and fell further to a 24-hour drop of 31.40%, dipping below $0.49.
Yet, just days later, Musk reignited interest by announcing that SpaceX would launch a satellite funded by Dogecoin — proving once again how volatile and sentiment-driven these markets can be.
Why Traders Keep Jumping In — Despite Knowing Better
Many investors openly acknowledge that they're chasing hype rather than fundamentals.
“I know we’re basically just pumping air,” said Xiao A (a pseudonym), a college student who entered the market in April with about $1,000 in disposable income. “But the idea that your money could double or even increase tenfold overnight? That’s hard to ignore.”
Xiao A was influenced by peers — four out of six roommates were actively trading crypto, three using leverage. Two reportedly turned $700 into over $1,500 in weeks. Inspired, Xiao A joined in — though he avoided margin trading despite seeing others profit from it.
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When prices dropped recently, all three leveraged traders suffered liquidations. While anxious, Xiao A chose to hold, relying on technical analysis and historical patterns rather than project fundamentals.
He isn’t alone. Many retail traders view meme coins less as investments and more as participation in a “greater fool theory” game — where success depends not on intrinsic value but on finding someone willing to pay more later.
“I don’t believe what Musk says,” Xiao A admitted. “But I do believe in momentum. Institutions won’t short forever — they’ll pump first, then dump. My goal is just not to be the last one holding the bag.”
Another trader, Xiao B, cashed out small profits from Dogecoin and rotated fully into SHIB on May 8, hoping to catch the next big wave.
“Maybe SHIB becomes the next DOGE,” he said with cautious optimism.
Experts Warn: High Risk Behind the Hype
Despite public enthusiasm, experts urge caution.
Jiang Zhuolei, CEO of BTC.TOP mining pool, stated that 95% of people who speculate in crypto will lose money. In a May 7 Weibo post, he teased an upcoming article titled: “Why I Own the Most Dogecoin Miners But Don’t Want to Profit from It.”
Similarly, researchers at OKX (formerly OKEx) highlighted that the surge in SHIB mirrors earlier Dogecoin rallies — driven more by fan culture and marketing than real-world use cases.
They note that tokens like SHIB often suffer from centralized holdings, increasing vulnerability to manipulation. With limited practical applications and no clear roadmap for decentralized adoption, current valuations rely heavily on speculation.
“There’s no fundamental reason for SHIB to be worth more today than yesterday,” an analyst noted. “If large holders decide to exit, retail investors could face steep losses.”
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Frequently Asked Questions (FAQ)
Q: What is Shiba Inu (SHIB) coin?
A: SHIB is a decentralized meme cryptocurrency inspired by Dogecoin and based on the Ethereum blockchain. It features a total supply of one quadrillion tokens and aims to build a community-driven ecosystem.
Q: Is SHIB a good long-term investment?
A: Most experts advise against viewing SHIB as a serious long-term asset due to its lack of utility and high volatility. It remains speculative and heavily influenced by social sentiment.
Q: Why did SHIB price surge suddenly?
A: The spike followed its listing on Binance and amplified by Elon Musk’s social media activity. High trading volume and FOMO (fear of missing out) among retail investors also contributed.
Q: Can SHIB replace Dogecoin?
A: While nicknamed the “Dogecoin killer,” SHIB lacks institutional backing and widespread merchant adoption. For now, it serves more as a speculative alternative than a functional replacement.
Q: How does leverage trading affect crypto speculation?
A: Leverage magnifies both gains and losses. In fast-moving markets like meme coins, over-leveraging can lead to total capital loss during sharp corrections — common among inexperienced traders.
Q: Should I invest in meme coins like SHIB?
A: Only if you fully understand the risks and are prepared to lose your entire stake. These assets should represent a tiny portion of any diversified portfolio — if included at all.
Final Thoughts
The rise of Shiba Inu reflects a broader trend in modern finance: the power of narrative over fundamentals. In an era where tweets move markets and internet culture shapes investment decisions, understanding crowd psychology may be more valuable than technical analysis.
Still, while fortunes are made overnight, they’re also lost just as quickly. As excitement builds around new entrants like SHIB, seasoned investors remind us: not every trend deserves to be chased.
For those navigating this space, education, risk management, and emotional discipline remain the best defenses against hype-driven pitfalls.
Keywords: Shiba Inu coin, SHIB price surge, meme coin investment, Dogecoin killer, cryptocurrency speculation, Elon Musk crypto influence, Binance SHIB listing