Shiba Inu (SHIB), the meme-inspired cryptocurrency, has gained significant attention and investment in recent years, thanks to its impressive early growth and dedicated community. However, the likelihood of the SHIB token ever reaching even $0.01 is remote at best, despite the Shib Army’s efforts to burn tokens at an aggressive pace. This article will explore the challenges that the Shiba Inu token faces in reaching this price point, including its lack of utility and use cases, enormous total supply, and highly competitive market.
While some early investors have become extremely wealthy thanks to the cryptocurrency’s impressive growth, the challenges that the Shiba Inu faces in reaching $0.01 or higher should not be underestimated.
The Challenge of Scaling
One of the major challenges that the Shiba Inu faces is scaling. While the cryptocurrency’s market capitalization has grown significantly, its transaction volume has not kept pace. This lack of scalability could pose a significant challenge to the cryptocurrency’s long-term growth.
Additionally, the Shiba Inu token’s circulating supply of 589 trillion tokens is a significant hurdle to overcome. With so many tokens in circulation, the potential for dilution is significant, which could lead to a decrease in the token’s value over time.
What is The Shib Army?
The Shib Army is a passionate community of investors who are committed to the success of the Shiba Inu coin. The Shib Army has played a significant role in the growth of the cryptocurrency, promoting its use, and creating real-world use cases and partnerships. The community is made up of individuals from all over the world who share a common interest in Shiba Inu and its potential for growth.
The Shib Army’s Efforts
Despite significant challenges, the Shib Army remains optimistic about the cryptocurrency’s long-term potential. The community’s dedication to creating real-world use cases and partnerships, as well as its commitment to charitable causes, has helped to establish the Shiba Inu token as potentially more than just a speculative asset.
The Shib Army has launched a variety of initiatives, including a decentralized exchange, a platform for NFTs, and a payment gateway, that demonstrates its commitment to creating value beyond mere speculation. Additionally, the community’s charitable arm, the Shiba Inu Rescue Association, has helped to generate positive publicity for the Shiba Inu coin and could help to drive adoption and increase its legitimacy. All of this development has raised community hopes that the price of SHIB will rise.
The Shiba Inu Dollar Dream
Shiba Inu investors believe that SHIB has the potential to reach $0.01 or even $1. However, the reality is that reaching even $0.01 is a challenging task for cryptocurrency.
At present, the Shiba Inu coin is trading at around $0.000013, with a market capitalization of around $7.5 billion. For SHIB to reach $0.01, its market capitalization would need to increase by a factor of 1,000. This would require a significant amount of investment and demand for the SHIB token, which is difficult to achieve.
To put this into perspective, Bitcoin, the world’s largest cryptocurrency, has a market capitalization of around $468 billion. Even if the SHIB token were to reach a market capitalization of $46 billion, which is a significant achievement, it would still be only 10% of Bitcoin’s size.
So, what about burning the SHIB supply to raise the price?
Shiba Inu: The Limits of Burning Tokens
Burning tokens has become a popular strategy among some cryptocurrencies to increase their value and reduce their total supply. However, burning tokens is not a panacea for all the challenges that a cryptocurrency faces. And the impact on its long-term viability can be complex.
Token burns may help to reduce supply and increase the value of a cryptocurrency in the short term. It is not a sustainable strategy for long-term growth. Burning tokens does not directly create any additional utility or use cases for the cryptocurrency. Which can also impact its value over the long term.
In the case of the Shiba Inu coin, the burning of 83 billion tokens may have helped to increase the cryptocurrency’s value in the short term. However, it represents just 0.015% of the Shiba Inu market cap. And does not address the long-term challenges that the cryptocurrency faces.
Additionally, the burning of tokens can also harm the long-term viability of a cryptocurrency. If a cryptocurrency burns too many tokens, it can limit the potential for future growth and development. With an astronomical supply, the SHIB token’s potential for dilution is significant. Which could lead to a decrease in the coin’s value over time.
Furthermore, burning tokens can also limit the potential for innovation and development in a cryptocurrency. If a cryptocurrency burns too many tokens, it can limit the resources available for future development and partnerships.
Final thoughts
Burning tokens may help to generate positive publicity and increase the value of a cryptocurrency in the short term. Yet, it is not a sustainable strategy for long-term growth.
The SHIB token’s lack of utility and use cases, enormous total supply, and highly competitive market remain significant challenges. To address these challenges, the Shib Army must continue to focus on creating real-world use cases and partnerships, as well as charitable initiatives, to increase the legitimacy of the Shiba Inu coin.
The Shiba Inu token has come a long way since its inception, and its dedicated community has been instrumental in its success. However, the challenges that the SHIB token faces in reaching $0.01 or higher are numerous. To reach its potential, the Shib Army must continue to focus on creating real-world use cases and partnerships, as well as charitable initiatives, to increase the legitimacy of the Shiba Inu coin.
The Shiba Inu coin has the potential to become a major player in the cryptocurrency market, and its passionate community has already achieved a great deal. With continued dedication and innovation, the Shib Army could make the Shiba Inu coin a viable alternative to traditional financial systems.
