Is FLOKI’s rising popularity a threat to SHIB?

  • FLOKI’s social popularity grew significantly over the last few days.
  • Declining sentiment around FLOKI and SHIB raised concerns around their prices.

The recent surge in interest in Bitcoin [BTC] not only positively influenced blue-chip coins, but it has also had a favorable impact on the memecoin sector.

Rising popularity

Floki [FLOKI], a popular memecoin on the BNB network was one of the few coins that gained popularity on the social front.

It ranked among the top 10 memecoins that had the highest number of mentions in the last 24 hours. This surge in social activity coincided with a surge in its price, which also grew during this period.

At press time, FLOKI was trading at $0.00003456 and its price had grown by 7.43%.  The volume at which it was trading also rose by 87.15% in the last 24 hours.

Source: Crypto Insights

Growing competition

This spike in interest on the social front, translated to its overall growth in terms of social dominance. This meant that FLOKI had outperformed memecoins such as SHIB, in terms of garnering attention on social media platforms.

AMBCrypto’s analysis of Santiment’s data revealed that SHIB’s social dominance declined over the last week, whereas FLOKI’s increased.

Floki on BNB Chain FLOKI 15.06.52 20 Feb 2024

Source: Santiment

A decline in interest on the social front could have negative impacts on the overall growth of the SHIB token which was trading at $0.00000973. Moreover, its price declined by 0.59% in the last 24 hours.

In terms of sentiment, both FLOKI and SHIB weren’t doing well. According to AMBCrypto’s analysis of Santiment’s data, the weighted sentiment around both the tokens fell significantly.

This meant that the number of negative comments around both these tokens outnumbered the positive ones in the last few days.

The decline in the sentiment around the tokens could impact the price of these tokens negatively and could hinder the possibility of a rally in the future.

Coming to the state of the traders, it was seen that most holders of both SHIB and FLOKI were profitable. This was indicated by the growing MVRV ratio for both these tokens.

Realistic or not, here’s FLOKI market cap in BTC’s terms

While increased profitability among holders is a positive trend, a heightened rate of profitability provides holders with an incentive to sell their holdings for a profit.

This potential sell-off could have a negative impact on the price of these tokens.

Floki on BNB Chain FLOKI 15.06.15 20 Feb 2024

Source: Santiment

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