Key Points
Shiba Inu has followed the market-wide rally in crypto as Bitcoin gains.
To the surprise of many, even as stocks fall, Bitcoin has traded higher as investors look for safety amid geopolitical tensions.
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Shiba Inu (CRYPTO: SHIB) just posted another green day, climbing more than 5% in the last 24 hours as of 5:58 p.m. ET on Monday. The S&P 500 was up 1% today as stocks recovered some of last week's losses.
Shiba Inu tends to follow Bitcoin
The broader crypto market is rallying as geopolitical anxiety around the Middle East conflict has, to the surprise of many, been good for digital assets. Crypto has spent the past two weeks behaving less like a speculative bet and more like the hedge against global uncertainty it has often been touted to be. Bitcoin is up more than 13% since the War in Iran began, even as stocks have fallen.
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While hardly anyone would look to Shiba Inu for security, as one of the most liquid meme tokens, it tends to amplify whatever Bitcoin does.
Shiba Inu is extremely risky
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Shiba Inu's value depends on the hype that surrounds it -- it is a meme coin. That makes it extremely sensitive to general sentiment and is liable to drop like a rock at any moment. Despite its recent gains, it is not a serious investment, and I would not own it.
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Johnny Rice has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Bitcoin. The Motley Fool has a disclosure policy.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.