Here’s Why Shiba Inu to $0.01 Seems Impossible, Also SHIB to $0.001 Appears Unrealistic

Despite predictions that Shiba Inu could claim a 1-cent price sometime in the future, this dream might be unattainable amid current market conditions.

Since retracing from its October 2021 peak of around $0.00008845, Shiba Inu (SHIB) has continued to be at the mercy of the bears. The asset has failed to recover this price mark amid the ongoing bull run, still trading 85% below the 2021 all-time high.

Calls for Shiba Inu to $0.001 and $0.01

Nonetheless, this discouraging trend has not impacted confidence. Calls of a Shiba Inu running to $0.001 have dominated the scene. Particularly, last September, Krao, a market analyst, suggested SHIB could hit $0.001 within a few months. 

Interestingly, that same month, another analyst, LuckSide, mentioned that all signs point to Shiba Inu reaching $0.001, citing whale activity and bullish on-chain indicators. At the time, SHIB traded for $0.0000138.

While the $0.001 prediction remains elusive, community voices have pushed for even higher price targets, including the 1 cent ($0.01) dream. For one, Shiba Inu marketing lead Lucie insisted in March that SHIB would go to $0.01. However, she admitted it could take some time. 

Shiba Inu Needs Unattainable Rallies to Hit $0.001 and $0.01

Meanwhile, at Shiba Inu’s current price of $0.000012, both the $0.001 and $0.01 targets are not within immediate reach. For context, before the meme coin can claim $0.001, it must increase by 8,233%. Also, to reach $0.01, SHIB would have to surge 83,233% from the current price.

These rallies are nearly unattainable due to the current market context. To put things into perspective, Shiba Inu has not been able to record up to a 1,000% increase since its historic rally ended in October 2021. Even its uptick from this cycle’s floor of $0.0000058 in June 2023 to the peak of $0.000045 in March 2024 only represented a 686% gain.

While this could be due to the bear market that took shape after 2021, it also reflects current market realities. Essentially, even in a bull run, Shiba Inu might not be able to pull off more than a 3,000% increase. 

Nonetheless, this isn’t unique to SHIB but applies to the entire crypto market due to the maturity of most assets in the top 20, especially those that existed in 2021.

For context, despite Bitcoin reaching a new all-time high of $112,000 last month, this only represented a 623% increase from its cycle low of $15,479 in November 2022. Most industry leaders expect BTC’s top to be $250,000 this year, but this would mark a 1,515% increase from the cycle low.

While Shiba Inu is capable of recording something greater due to higher volatility, it might only do double that, potentially leading to a peak price of $0.0001798. While this is below the $0.001 and $0.001 targets, it would still mark some reasonable gains for investors.

SHIB’s Circulating Supply Dilemma 

The second reason why SHIB might not be able to reach $0.001 and $0.01 is its current circulating supply. With over 589 trillion tokens in circulation, a price of $0.001 would yield a $589 billion market cap, higher than even Ethereum’s current valuation. While this is not entirely impossible, it’s highly ambitious.

Meanwhile, a price of $0.01 would place Shiba Inu‘s valuation at $5.89 trillion. This figure is greater than Bitcoin’s current market cap of $2 trillion and the broader crypto market cap of $3.3 trillion. Notably, attaining this feat is rather impossible with the current market conditions.

Essentially, a Shiba Inu run to $0.01 would only become attainable if the broader crypto market expands considerably from the current position. However, this might take over a decade, aligning with Lucie’s comments. Meanwhile, a run to $0.001 may materialize in the next bull run if SHIB gains enough ground in the current cycle.