Traders will likely stay focused on the potential Robinhood listing in the upcoming trading sessions, as the rumor has not been officially refuted.
Shiba Inu has recently gained upside momentum and rebounded from lows after news on Bitso listing, which we have discussed before, but it also had a potentially bigger catalyst – a Robinhood listing rumor.
Robinhood CFO Signals That The Company is Not Ready To Increase Its Presence In The Crypto Segment
The previous big listing for Shiba Inu took place in late November, when Kraken announced its support for the meme coin. The market’s reaction was very optimistic:
However, Kraken listing failed to provide enough support to Shiba Inu. The number of Shiba Inu holders continued to grow and surpassed the 1.1 million mark, but this fact also failed to provide material support to the meme coin.
Crypto markets were moving lower since early November, and so did Shiba Inu, declining from the highs near the $0.000090 level to the recent lows near $0.000025.
The recent crypto market rebound boosted Shiba Inu, and the coin got additional support from the Bitso listing and especially from the Robinhood rumor.
Robinhood CFO stated that the company was not ready to “put any meaningful amount of our corporate cash into cryptocurrencies”, but it remains to be seen whether Robinhood is planning to offer more crypto options to its customers.
Why Robinhood Is More Important Than Kraken For Shiba Inu
Interestingly, Robinhood gets a significant part of its revenue from the crypto segment. In Q2 2021, crypto-related revenue was $233 million. In Q3 2021, crypto-related revenue declined to $51 million as trading activity in Dogecoin fell from its highs (the company did not specifically blame Dogecoin in its reports).
In this light, Robinhood may be interested in expanding its crypto coverage to boost revenue, and Shiba Inu looks like a decent candidate since Robinhood already provides access to Dogecoin.
However, Robinhood will likely be very cautious after the meme stock mania tested its limits back at the beginning of 2021, so it remains to be seen whether the company is really thinking about adding Shiba Inu.
For Shiba Inu, such listing would have been a material positive catalyst. While Kraken is important, it’s just another big crypto exchange, while Robinhood provides access to a pool of a different category of potential investors, who are not focused solely on cryptocurrencies. In this light, traders will have to watch this story closely.