Shiba Inu (SHIB) Price Risks $0.0000020 Breakdown as Trump's Memes Encroach Market Share

Shiba Inu (SHIB) delivered underwhelming price action on Wednesday,January 22, while cryptocurrency assets like TornadoCash, Solana, and Dogecoin gained significant traction.

Shiba Inu (CRYPTO: SHIB) price slipped on Wednesday, reflecting broader market trends and increasing competition from newer memecoins.

What Happened: Shiba Inu price edged down 0.82% to $0.0000021 on Wednesday, as cryptocurrency assets like TornadoCash (CRYPTO: TORN), Solana (CRYPTO: SOL), and Dogecoin (CRYPTO: DOGE) gained significant traction.

Despite broader interest in the cryptocurrency market, SHIB struggled to maintain investor attention amidst a rapidly evolving memecoin landscape.

As Donald Trump’s presidency sparked a wave of interest in memes, the aggregate memecoin market capitalization surged significantly, surpassing the $117 billion mark on Wednesday, according to Coingecko data.

This notbale increase highlights the resurgance of interest in memecoins, especially those tied to timely and relevant narratives.

However, investors have navigated this resurgence selectively. TRUMP’s newly launched $TRUMP and MELANIA tokens epitomize this trend, soaring to peak market capitalizations of $8.4 billion and $755 million, respectively.

These tokens’ rise is underpinned by substantial search interest on Coingecko, as illustrated in the chart above, cementing their position among the top trending assets in the market.

Similarly, OpenAI’s recent announcement of a $500 million investment in AI infrastructure has shifted attention toward AI-themed memes. Tokens like Ai16z and Pudgy Penguins have drawn significant investor interest over the past weeks.

In contrast, legacy memecoins like Shiba Inu have struggled for momentum.

Without a strong narrative linking them to trending themes like Trump’s presidency, SHIB has faced adverse impacts. The chart above underscores how Shiba Inu has lost market share to newer, narrative-driven memes.

Since the week began on January 19, SHIB price has declined by 15.8%, hovering precariously above the $0.0000020 mark as of January 22.

This sustained downtrend poses a risk of further breakdown unless SHIB re-establishes relevance in the fleeting and highly competitive memecoin media trends.

The sustained downtrend in Shiba Inu price comes as the memecoin faces increasing competition from newer tokens and narratives.

Shiba Inu price now hovers precariously above the $0.0000020 mark, posing a risk of further breakdown unless the memecoin manages to re-establish relevance in the rapidly evolving memecoin media trends.

Shiba Inu’s 15.8% loss performance, amid double-digit gains for DOGE, TRUMP, MELANIA, Ai6z and other trending memecoins, means that SHIB has lost significant market dominance this week.

While media narrative has been evidently skewed against SHIB, a closer look at on-chain data trends shows whale investors’ waning confidence has also contributed to the recent price dip.