Shiba Inu (SHIB) has captivated crypto fans and users since its launch in August 2020. The asset’s price rose by many million percent within its first year, and early investors made massive gains with minimal investments.
If you purchased $100 worth of SHIB on Aug. 2, 2020, the value of the tokens would have skyrocketed to $3.2 million today. Your portfolio’s value would have risen by 3,238,438% (3.2 million percent).
Also Read: Poll: 85% Investors Believe Bitcoin Will Reach $100,000 in 2024
Can Shiba Inu Replicate Its Previous Bull Run?
One of the most significant catalysts for SHIB’s incredible run in 2021 was Ethereum co-founder Vitalik Buterin’s massive SHIB burn. Buterin received half of SHIB’s supply upon the project’s launch. Buterin decided to burn 90% of the tokens he received and donate the rest to charity. His actions led to a significant dip in supply and an increase in demand. The asset’s price skyrocketed, leading to early investors making millions.
Also Read: Bitcoin: MicroStrategy to Raise $1.75B For BTC Purchase
SHIB still has about 589 trillion tokens in circulation, which is quite a substantial number. The asset’s massive supply is one reason prices cannot hit higher numbers. If the price of one SHIB token were to hit $0.1, the project’s market cap would become unrealistically large.
If the Shiba Inu (SHIB) team can undertake another massive burn, we could witness another 2021-like rally. The team is reportedly on a new burn mechanism that is rumored to burn trillions of tokens yearly. The team has yet to disclose the inner workings of the upcoming burn mechanism.
Also Read: Donald Trump’s Trump Media To Acquire Crypto Trading Site
Shiba Inu (SHIB) is also working on new initiatives to bring more utility to the token. More use cases may drive adoption for the token which could lead to a price increase.
How the dog-themed crypto performs over the next few weeks is yet to be seen.
Credit: Source link
