This Shiba Inu (SHIB) Competitor Explodes 200% in a Week: Here’s Why

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TL;DR

Floki Inu experienced a significant price increase, coinciding with the overall bullish status of the cryptocurrency market.
The surge in FLOKI’s value is linked to several factors, such as an important listing by a well-known exchange.

Meme Coin Frenzy

Floki Inu – a dog-themed meme coin – has been among the best performers in its realm for weeks. It currently trades at around $0.0001923 (per CoinGecko’s data), a 220% increase on a 7-day scale and a whopping 500% surge in the past month.

FLOKI Price, Source: CoinGecko

One reason behind its impressive rally could be the overall bullishness surrounding the cryptocurrency market, particularly the meme coin sector. Assets of that type, including Dogecoin (DOGE) and Shiba Inu (SHIB), have charted triple-digit gains, offering savvy traders the allure of making quick and substantial profits.

As CryptoPotato recently reported, one SHIB investor made almost $1.6 million (at least on paper) with an initial investment of just $2,500. Another purchased over 2.5 million dogwifhat (WIF) tokens at the end of last year, spending only $310. As of the moment, the stash equals more than $5.6 million.

However, dealing with meme coins can also result in crucial losses due to the infamous volatility of the asset class. Please take a look at our latest video to check the most common mistakes that successful traders need to avoid when entering the ecosystem:

Additional Support and Rising TVL

Uphold’s decision to allow trading services with FLOKI might have also contributed to the token’s latest spike. The team described the listing as “a big deal,” arguing it could increase the coin’s accessibility. Cryptocurrency exchanges that have previously embraced Floki Inu include Binance.USKucoin, and more.

Important metrics related to the asset’s ecosystem have also headed north. Data shows that total value locked (TVL) in the staking program has pumped to an all-time high of $455 million. 

Burning Billions of Tokens

Last but not least, the resurgence could be linked to Floki DAO’s announcement to burn more than 190 billion FLOKI coins to ensure “long-term security and stability” for the ecosystem. The stash, currently worth approximately $37 million, will be destroyed by the end of the week. 

Removing huge chunks of tokens from circulation can trigger a price rally for FLOKI since it would make it scarcer and more valuable (assuming demand stays the same or goes up). Another meme coin that has adopted a similar burning program is the self-proclaimed Dogecoin-killer – Shiba Inu.

The post This Shiba Inu (SHIB) Competitor Explodes 200% in a Week: Here’s Why appeared first on CryptoPotato.

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