Shiba Inu (SHIB) has gained attention for its impressive price rallies and remarkable return on investment (ROI) in the past. Some reports now speculate that a similar rally to $0.01 is possible. However, Google’s Bard AI, known for providing advanced insights, offers its perspective on the realistic nature of these price targets.
According to Bard, while it cannot completely disregard the possibility of Shiba Inu reaching $0.01, it considers it unlikely due to various challenges along the way. To comprehend the factors involved, it is essential to delve into the intricacies of the market dynamics and tokenomics of Shiba Inu.
Factors to Consider
An important aspect to take into account is the relationship between the overall cryptocurrency market cap and the market cap of Shiba Inu.
For Shiba Inu to reach a price of $0.01, there would need to be a significant expansion in the overall valuation of the cryptocurrency market to accommodate such a substantial increase. Currently, the global crypto market cap is at $1.17 trillion.
Additionally, the circulating supply of Shiba Inu (SHIB) is a crucial factor to consider. With a staggering 589 trillion SHIB tokens in circulation, the sheer magnitude of the token supply presents a challenge in achieving a higher valuation.
Reaching a price of $0.01 per token would result in Shiba Inu’s market cap hitting $5.89 trillion, which exceeds the combined market cap of industry giants like Apple and Microsoft. Given this immense valuation, there simply isn’t enough money within the current market to accommodate such a scenario.
To address this, reducing Shiba Inu’s supply through token burns is seen as crucial. However, achieving a significant reduction in supply in practice remains uncertain. Shytoshi Kusama, the project lead for Shiba Inu, has previously mentioned that burns alone are unlikely to trigger a significant price surge for SHIB, considering the current burn rate.
Therefore, the adoption of Shiba Inu by businesses and consumers becomes a vital factor. The more Shiba Inu is accepted and utilized as a medium of exchange or a store of value, the greater the potential for price appreciation, as it leads to increased exposure and demand.
However, achieving widespread adoption in the highly competitive and ever-evolving cryptocurrency landscape is a formidable challenge.
Building trust and showcasing real-world use cases for the Shiba Inu token is crucial. In pursuit of this goal, the Shiba Inu development team is actively engaged in projects like Shibarium and SHIB: The Metaverse, aiming to demonstrate the practical applications and utility of the token.
Shiba Inu to $0.01? A Realistic Perspective
While Shiba Inu initially generated significant hype, it is important to acknowledge that the initial excitement has diminished to some extent. The cryptocurrency market has seen the emergence of numerous other assets, and for Shiba Inu to maintain its relevance, it needs to adapt by introducing new utilities and projects.
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However, achieving a price of $0.01 for Shiba Inu seems highly unlikely. With its current value of $0.00000755, the token would need to increase by an extraordinary 132,350% to reach $0.01.
Nevertheless, it’s important to recognize that the cryptocurrency market remains highly unpredictable. Unexpected events, such as a major corporation adopting Shiba Inu as a payment method, could dramatically alter the trajectory of the token.
This inherent unpredictability adds an element of excitement and opportunity to the cryptocurrency market, where seemingly improbable outcomes have been witnessed in the past.