The already large supply of Shiba Inu (SHIB) is the biggest obstacle to the $0.01 price target. However, this obstacle does not make the goal impossible.
SHIB entered a prolonged downtrend after hitting an all-time high of $0.000086 (ATH). The meme coin is trading at $0.00001090, down 87.35% from this ATH.
shiba inu
Shiba Inu is a cryptocurrency that was released in 2020. SHIB emerged as a dog-themed cryptocurrency, similar to the success of Dogecoin. Created and developed by meme coin creator Ryoshi. It first appeared on the Ethereum blockchain, but was later moved to the Binance Smart Chain.
The meme coin gained huge popularity in 2021. For various reasons, especially with the tweets of Elon Musk and the growing interest in the cryptocurrency market, the value of the Shiba Inu has skyrocketed.
Besides, SHIB is known as a community-focused cryptocurrency.
Could the Shiba Inu Reach $0.01?
With the current performance of the Shiba Inu, many may think that it is impossible for the price to reach $0.01. However, the past rise of SHIB has made it clear that anything is possible in the cryptocurrency space. The Shiba Inu, which dropped to an all-time low (ATL) of $0.000000000056366 on November 28, 2020, rose as high as $0.0000086 in less than a year.
Raising the Market Value of the Shiba Inu (SHIB)
For Shiba Inu to reach $0.01 would require the cryptocurrency to have an astronomical market cap of trillions of dollars. Currently, the Shiba Inu has a market capitalization of $6.4 billion. With a current circulating supply of approximately 589.36 trillion dollars, a price of $0.01 would require a market cap of more than $5.89 trillion. This is even more than the market cap of Bitcoin (BTC), which is currently $539 billion.
So how can the Shiba Inu reach $0.01?
high demand
The Shiba Inu has reached its price peak thanks to requests from investors. However, the demands he received quickly dwindled. Investors’ appetite for the crypto asset has plummeted for several reasons. Meanwhile, Shiba Inu whales haven’t given up on their Shiba Inu hoarding spree.
Whale buys are admirable, but reaching $0.01 will require more trading activity. Shiba Inu needs new traders and investors just like in 2021. The entry of new investors will increase SHIB’s trading volumes on exchanges and contribute significantly to its price.
Global Adoption
Another key factor that could put the Shiba Inu on the way to $0.01 is its widespread adoption as a form of payment. The Shiba Inu has done well in terms of adoption as a payment method. Companies such as BitPay, Binance, and CoinGate are supporting initiatives to increase the use of cryptocurrency in payments.
These companies have added support for the crypto asset, which allows people to pay for goods and services using the asset class. While the Shiba Inu has managed to be used as a payment method over the years, the token needs more adoption in the payments industry. More top sellers accepting Shiba Inu payments could push the price up to $0.01.
burns
Another way for the Shiba Inu to reach the $0.01 level is by burning a large portion of the token supply. The community already plays an important role in reducing supply. However, these efforts have so far yielded little results. Approximately 588.2 trillion SHIB would need to be burned for SHIB to rise to $0.01 by incineration over the current price of $0.00001090 and market cap of $6.4 billion.
According to data from ShibBurn, 410,630,138,380,883 (410.63 trillion) SHIBs have been burned so far, out of a total supply of 1 quadrillion. Besides the community, other third parties such as Steven Cooper’s Bigger Entertainment, ShibBurn, and Koyo Token also played an important role in the burning of SHIB. While these SHIB burns are necessary, more burns are needed to further reduce the token supply.
shibarium
The main purpose of launching Shibarium is to be a special burn portal that will destroy the SHIB on every transaction within the network. The team did not hint at how many SHIBs will be burned through the portal. However, the number of tokens Shibarium can burn will depend on its adoption. As more crypto projects adopt the protocol, the protocol will burn more tokens.
Meanwhile, if Shibarium can successfully catch up with Polygon in terms of scalability, operability, and security as promised, it won’t be hard to attract decentralized app developers.
Conclusion
The main way for the Shiba Inu to reach $0.01 is to either destroy much of its supply or force mainstream adoption of the asset, especially in the payments sector, and attract new investors to buy. It is not impossible for SHIB to reach $0.01. However, everyone involved in the crypto project, including community members, needs to work hard for this purpose.
You can follow the current price action here.
Source : the crypto basic