Shiba Inu (SHIB ($0.00)), once a dominant force in the top 10 crypto rankings, has now slipped to the 22nd position. With a market capitalization of $7.26 billion and a current trading price of $0.00001233, the token finds itself outside the top 20 for the first time in years.

In 2021, SHIB rocketed into the top 10, even surpassing Dogecoin at one point. It made a brief comeback in March 2024 but failed to hold its ground. Since then, it managed to remain in the top 20 until its recent fall in July 2025. Now, investors and analysts are left asking: what exactly caused this decline?

Internal Conflicts Are Slowing Down Progress

One of the key factors dragging SHIB down is internal discord. Kaal Dhairya, a top developer in the Shiba Inu ecosystem, recently confirmed that infighting among core contributors is affecting the project’s overall momentum. This type of conflict stalls progress, diverts focus away from development, and creates uncertainty within the community. For a cryptocurrency that thrives on grassroots energy, internal fragmentation can be especially damaging.

Anonymous Leadership Raises Investor Doubts

Shytoshi Kusama, the lead developer behind SHIB, continues to maintain an anonymous public identity. While this secrecy didn’t bother early investors, it has started to raise concerns as the project matures. Even after attending major events like the IVS Summit in Japan, Kusama chose to hide his face behind a mask. His declining engagement on social media only deepens the communication gap.

In contrast, other leaders in the crypto industry, such as Cardano’s Charles Hoskinson, Ethereum’s Vitalik Buterin, and Ripple’s Brad Garlinghouse, maintain a strong public presence. Their visibility has helped build trust and accountability. Unfortunately for Shiba Inu, Kusama’s anonymity is now pushing some investors away and discouraging new participants from joining the SHIB community.

Related article: Shibarium Drives SHIB Growth as Team Urges Investor Vigilance

Lack of Institutional Support Limits Growth

Unlike many other large-cap cryptocurrencies, Shiba Inu has failed to attract meaningful institutional interest. Despite recent SEC guidance clarifying that meme coins are not securities, there has been no SHIB-related ETF filing to date. On the other hand, Dogecoin has already received multiple ETF proposals from major firms like Grayscale and Bitwise.

The absence of institutional support significantly limits capital inflows into the Shiba Inu ecosystem. As institutional money continues to reshape the crypto landscape, this lack of attention has left SHIB trailing behind, unable to tap into the financial firepower needed to reclaim a higher position.

An Oversized Supply Creates Price Constraints

Another challenge that continues to weigh down SHIB is its massive token supply. With roughly 589 trillion tokens in circulation, price growth becomes significantly more difficult. Such an enormous supply also increases volatility, making it harder to maintain a stable market cap and rank consistently among top cryptocurrencies.

Although token burns have occurred, they haven’t been aggressive enough to counteract the impact of this high supply. Without a stronger deflationary model, SHIB may continue to struggle with value perception and long-term sustainability.

What Will It Take for SHIB to Rebound?

If Shiba Inu is to regain a spot in the top 20, and potentially return to the top 10, it will need to undergo a serious reset. Resolving internal team conflicts is essential to restoring trust and focus. Greater transparency from project leadership could go a long way in rebuilding investor confidence. The ecosystem must also explore deeper burn mechanisms to address supply issues and seek out ways to attract institutional interest.

These shifts are not impossible. In fact, they may be necessary if SHIB intends to remain competitive in a rapidly evolving market.

Team Encouragement Amid the Downturn

Despite its current ranking, the Shiba Inu team continues to show optimism. Earlier this year, SHIB’s marketing lead Lucie encouraged the community to stay strong, stating that SHIB would rise again despite ongoing price challenges. She has also expressed her long-term belief that SHIB could reach $0.01, and possibly even aim for $1 in the future. While these targets remain speculative, they reflect the confidence and persistence still alive within the community.

Final Thoughts

Shiba Inu’s fall from the top 20 highlights some of the deeper issues facing the project—internal misalignment, lack of institutional presence, and structural challenges like oversupply. However, all is not lost. If the team can refocus, improve communication, and implement stronger mechanisms for growth and deflation, SHIB still has a chance to make a comeback.

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