Crucial Pump and Dump Warning Issued to Shiba Inu Community

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As an experienced crypto investor who has witnessed the rise and fall of numerous digital assets over the years, I find myself nodding in agreement with Lucie’s latest message. The crypto market has indeed become oversaturated with unsustainable projects that rely on hype rather than substance to survive.

In typical fashion, Lucie, head of marketing for the Shiba Inu network, recently shared vital information with potential cryptocurrency investors and enthusiasts. On platform X, she emphasized a rising pattern in the crypto sector that has resulted in an overabundance of questionable projects due to the saturation of the marketplace

Upsurge in unsustainable crypto projects

As per Lucie’s explanation, numerous emerging projects could benefit from a larger number of genuine backers for long-term stability. If a new chain enters the market with just a handful of supporters, it may create a situation often referred to as “pump-and-dump,” where initial excitement leads to rapid price increases followed by a sudden collapse in value

The marketing lead for Shiba Inu asserts that the market is adept at distinguishing genuine players from those who are not serious. She explained that cryptocurrencies with only a small number of supporters typically don’t survive, and tokens fueled by pump-and-dump speculation won’t thrive in the long run. Ultimately, she believes, the market will sift out high-quality assets from inferior ones

At this stage, there are numerous chains and tokens in play, yet no additional retailers joining the fray. This doesn’t quite add up. Smaller chains supported by only a few hundred backers can’t thrive, and tokens propelled by hype for pump-and-dump schemes won’t last. Over time, the market will sift out quality from the mediocre. In other words, do your own research (DYOR)— 𝐋𝐔𝐂𝐈𝐄 (@LucieSHIB) September 4, 2024

Lucie emphasized the upsurge in the number of chains, that is, blockchain networks and tokens (cryptocurrencies) on the market. However, this proliferation has yet to lead to a corresponding increase in utility or adoption by retailers or real-world businesses.

The marketing lead cautioned investors to carefully evaluate or research a project before investing their funds and time to prevent losses occasioned by pump-and-dump. Usually, such projects fade away when a market correction occurs.

Crypto project’s survival depends on utility

Although Lucie mentioned no specific crypto project, her message to the community aligns with an earlier one reported by U.Today about crypto survival. In that update, Lucie stated that not all cryptocurrencies will remain solvent by 2026, as thousands of projects will battle for survival. Specifically, only those with real-world utility will make it.

Currently, the overall feeling towards Shiba Inu in the market is predominantly optimistic, with approximately 79% of investors viewing it as a potential positive investment, while about 21% are skeptical or bearish. However, despite this bullish sentiment, the coin’s actual performance in terms of price has been relatively low, trading at $0.00001307, representing a decrease of 3.87%, according to CoinMarketCap data

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2024-09-04 16:58