Shiba Inu Price Rallies on Trump's Cryptocurrency Comments, But Experts Warn of Uncertainty

Shiba Inu's price surged by 21.7% in the last week and over 31% in the monthly charts, reaching a high of $0.00000620. However, despite its popularity, SHIB's price has struggled to gain momentum over the past year and a half.

The recent rally was triggered by President Trump's White House cryptocurrency event, where he stated that the US may purchase a large amount of Bitcoin (BTC) and other cryptocurrencies. This statement led to a massive surge in investor sentiment, causing a market-wide rebound.

However, there are concerns about Shiba Inu's price sustainability due to its high-risk nature. If inflation does not cool down further, the Federal Reserve may raise interest rates, which could negatively impact SHIB's price. According to CME FedWatch data, there is a 60.1% chance that interest rates will remain unchanged after the next meeting, and a 39.9% chance of a rate hike.

Additionally, nearly $550 million worth of long positions were liquidated in less than an hour earlier today, indicating a potential sell-off in the market. Bitcoin (BTC) is also showing signs of correction, which could lead to further price drops in SHIB and other crypto assets.