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Flagship currencies such as Bitcoin and Ethereum, are mostly accounted for the large market value of the crypto industry. However, one asset that absolutely shines out is a meme-inspired cryptocurrency, Shiba Inu. SHIB has also played a major role in attracting new investors into the space.
Shiba Inu also enjoys the support of a large community that calls itself the SHIB Army. Launched in 2020, SHIB has had a spectacular journey in terms of its price growth. However, now the Shiba Inu hodlers wonder whether the meme-coin can ever touch the mark of $0.01.
Let’s ponder the possibility of this scenario out loud:
To begin with, the token to reach $0.01 would have to surge by 84,000%.
There are three factors that can take SHIB to reach the reality of $0.01: Innovation, coin burn, and momentum driven by social media platforms.
Coin Burn
Coin Burn is a process carried out to reduce the number of tokens from its current supply. It is done by sending tokens to dead blockchain addresses which are impossible to access. Thus, the value of the remaining coins automatically increases. Vitalik Buterin, the co-founder of Ethereum, sent over 410 trillion tokens to a dead blockchain address from the half of SHIB’s circulating coin supply he was gifted by SHIB anonymous founder “Ryoshi.”
More such large burning events would be needed to increase the value of SHIB.
Innovation
To lure more investors, Shiba Inu’s developers need to bring innovation to the ecosystem. They are even on the track as the team has announced that it will be launching Shibarium, a layer-2 blockchain project, which is built in a way to lower transaction fees. Additionally, the launch of the non-fungible token (NFT)-based gaming is also planned. The successful launch of Shibarium is quite crucial for the NFT marketplace to be operated at a reasonably low price.
Momentum
Social media drive momentum is the third necessary factor for Shiba Inu to hit the mark of $0.01. Just like how united communities and hashtags brought new funds into Shiba Inu last year, more excitement around the project can lead it to achieve new milestones.
Can Shiba Inu Really Achieve The Milestone Of $0.01?
We discussed the situations that can lead to the goal of a penny; however, looking at it through a practical lens leads to the realization that it’s almost impossible to reach such a goal.
The reason behind it is that Shiba Inu will be required to burn an enormously large number of coins to create a large momentum to make the price of the token a penny. Besides, after Buterin’s burning stunt, there seem to be no such burning events on the horizon.
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Nancy J. Allen is a crypto enthusiast, with a major in macroeconomics and minor in business statistics. She believes that cryptocurrencies inspire people to be their own banks, and step aside from traditional monetary exchange systems. She is also intrigued by blockchain technology and its functioning. She frequently researches, and posts content on the top altcoins, their theoretical working principles and technical price predictions.
