For the token to reach its one-dollar value and $500 billion market cap, the Shiba Inu community would have to burn 99% of the SHIB supply.
Despite Shiba Inu’s persistent troubles on the back of the ongoing market drawdown, market participants have maintained confidence around its potential recovery. Amid this optimism, analysts such as Javon Marks have projected rebound targets to levels like $0.0001553 for the mid-term.
Interestingly, proponents have continued to eye longer-term targets at the $0.001 and even $0.01 regions. Despite the pessimism surrounding these projections, discussions around Shiba Inu claiming a massively ambitious $1 price have also dominated the scene.
Shiba Inu’s $1 Prospects
For instance, last August, leading crypto exchange CoinW hinted that SHIB could actually reach the $1 target, questioning the community if Dogecoin or Shiba Inu will reach the much-coveted $1 mark. Notably, Dogecoin, which currently trades for $0.2756, is much closer to this price than SHIB.
With Shiba Inu changing hands at $0.00001667 as of press time, several voices have dismissed any talks about a rally to $1. Particularly, the major reason behind this pessimism is SHIB’s current circulating supply, which stands at 589 trillion tokens.
With such a supply, a $1 Shiba Inu price would translate to a market cap of $589 trillion. There just isn’t enough money in the world to sustain this valuation. As a result, for Shiba Inu to ever dream of hitting $1, the token would need to undergo an extensive burn process, even greater than what was observed with Ethereum founder Buterin in May 2021.
How Much Shiba Inu Supply to Burn for SHIB to Hit $1 at $500B Market Cap
Meanwhile, even with substantial burns, Shiba Inu’s market cap would need to exceed current levels for a $1 price. Interestingly, lead developer Shytoshi Kusama suggested last month that the dog-themed meme coin is capable of hitting a $1 trillion market cap sometime in the future.
On this note, we analyzed how much SHIB the community would need to burn to push Shiba Inu’s price to $1 at half of Kusama’s market cap projection of $1 Trillion. Notably, at a $500 billion market cap, Shiba Inu’s price would reach $1 if its circulating supply is just 500 billion tokens.
Currently, the circulating supply is 589 trillion. Consequently, the community must burn 588.5 trillion tokens, representing 99.91% of the circulating supply, for Shiba Inu to hit $1 at a $500 billion market cap. However, such a burn is unlikely to occur, making the chances of SHIB hitting $1 extremely low.
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