Shiba InuIt is among the top 20 cryptocurrencies by market value. Therefore, judging by its success since its inception, it remains one of the favorites of the crypto world.
With this, meme coin Although it has an energetic community, the challenges it faces remain evident as it is unlikely to hit its most ambitious price targets anytime soon unless something drastic happens.
Currently, the price and market value of the Shiba Inu appear to be in recovery mode. Additionally, it increased by 2.36% to $0.000009863 and $5,815,405,995, respectively. However, it has yet to recover as trading volume dropped 41% to $196,928,205.
Currently the meme coin has a circulating supply of 589,300,097,886,121 (589.3 trillion) SHIB. For example, hitting the $1 price target would bring the token’s market cap to an unrealistic level of 589,300,097,886,121 ($589.3 trillion).
Burning 90% of this supply could change the situation as it would reduce the figure to 58,930,009,788,612 (58.9 trillion) SHIB. The $1 valuation that this narrowed supply would bring is also unrealistic.
If a perfect incineration system emerges, it will be decades before this mega supply reduction achieves any significant results. As a result, reducing the supply of Shiba Inu may increase the price of the asset. But not enough to meet the community’s expectations.
Koinfinans.com As we reported, a 99% reduction in supply may be necessary to see the fundamental change that could help the Shiba Inu reach a price of at least $0.01 in the long term. A decrease of 99 would bring the supply to 5.89 trillion. This would increase SHIB’s market value to $58.9 billion at a price of $0.01, which is a realistic and achievable figure.
In the current system, burning cryptocurrency requires manually sending the SHIB designated for burning to the unusable wallet.
This trend Shibarium This will change as the team wants to implement an automatic burn mechanism on the network and further support token burn, further contributing to deflation
Source : The Crypto Basic