Shiba Inu slumps 9% after latest bull run
Investor Michael Burry lambasts cryptocurrency as “pointless” despite sudden rise in value
Crypto Shiba Inu slumped on Tuesday afternoon, giving up some of the substantial gains it has enjoyed this month.
The Dogecoin-inspired cryptocurrency began October with a market capitalisation of $2.85bn and a price of $0.000007208, according to CoinMarketCap. Within ten days, this had jumped as high as $13.7bn and $0.00003488.
The jump can largely be attributed to cryptocurrency exchange Coinbase’s decision to include SHIB on its platform.
Although many who invested early in the meme-inspired crypto will no doubt have hailed the stratospheric jump, one figure who was less enthusiastic was Scion Asset Management head Michael Burry.
Coin draws wrath of Burry
The doctor-turned-investor – whose success predicting the collapse of the 2008 US property market was depicted in the popular film The Big Short – took to social media to lambast Shiba Inu.
In a since-deleted tweet Burry pointed to the coin’s supply of one quadrillion as cause for concern, and said: ”Just saying, one quadrillion seconds is about 32 million years. One quadrillion days is 2.7 trillion years, or all of time, from the beginning of the universe, multiplied by 71,000. In other words, pointless.”
Although still the 18th largest cryptocurrency in the world and up 53% in the past week, Shiba Inu traded down 11.8% by 16:15 BST (UTC +1). The crypto with a deliberately large supply still stands 27% below the $0.0000388 all-time high it reached in May.
Dimon vs Bitcoin
Bitcoin traded down 1.5% at $56,509, a day after JPMorgan Chase CEO Jamie Dimon described the world’s first and largest cryptocurrency as “worthless”.
Speaking virtually at the Insititute of Interntaional Finance, Dimon added: “Our clients are adults. They disagree. If they want to have access to buy or sell bitcoin – we can't custody it – but we can give them legitimate, as clean as possible access.”