Memecoins Dogecoin and Shiba Inu have seen price surges with the rise in the price of Ethereum.
Dogecoin, at the time of writing this article, was down by 1.83%. It was trading at $0.07614, while Shiba Inu was up by 4.67%. In the last seven days, Shiba Inu gained 27.69% and Dogecoin 7.72%. Ethereum is changing hands at $1,899. It is up by 5.69% in the last seven days. The surge in prices comes as investors expressed optimism about the long-term prospects for digital currencies, despite the pullback in prices in recent weeks.
The most loved memecoin recorded an all-time high on Saturday. It reached $0.08 cents after commencing the year at just $0.002. Shiba Inu has also seen highs, but there have been pullbacks too. The sudden jump in the prices of the memecoins shows optimism about the long-term prospects for digital currencies. The two “joke coins” are driven by the strength of their community, such as Elon Musk endorses Dogecoin, while Shiba Inu has been riding high due to its association with the popular Doge meme.
Analysts say this comes as a lower-than-expected inflation print from the US Federal Reserve. It had reaffirmed its dovish stance on monetary policy and had spurred a rally in risk assets.