The valuation of the meme cryptocurrency Shiba Inu (SHIB) has been a subject of speculation amid ongoing network developments aimed at giving the network more utility.
Within this context are several price targets for this meme coin, with the broader community aiming for the coveted $1 milestone. However, to attain this position, Shiba Inu will likely need the support of a $0.50 price floor.
To assess the likelihood of SHIB reaching the $0.50 level, Finbold sought insights from the generative artificial intelligence (AI) platform Google Bard. When asked about Shiba Inu’s path to $0.50, Bard identified several factors that could potentially elevate SHIB to this price point.
According to this analysis, Shiba Inu would need to experience a surge in buying pressure, significantly increasing the token’s market capitalization to $274.5 billion.
“For Shiba Inu to reach $0.5, it would need to achieve a market capitalization of approximately $274.5 billion. This is a significant increase from its current market capitalization,” Bard said.
Factors affecting SHIB’s path to $0.50
The tool acknowledged that hitting the $0.50 level is a long way to go but identified three factors that can contribute to this remarkable surge. The tool identified an increased adoption and use as a currency. The more Shiba Inu is adopted for transactions, the higher the demand.
Bard also highlighted the relevance of the continued development of the Shiba Inu ecosystem alongside the support from the token community. However, Bard emphasized that the cryptocurrency market is volatile and unpredictable.
Based on the current market conditions, it appears unlikely that Shiba Inu will reach $0.50 in the near future. Nevertheless, if the cryptocurrency market continues to expand and SHIB achieves widespread adoption, the dream of reaching $0.50 might not be entirely out of reach in the long term.
It’s important to highlight that Shiba Inu is pinning part of its hopes on network initiatives to enhance its valuation. The recent rollout of the layer two scaling solution, Shibarium, is touted as a significant driver for this growth.
Notably, this solution has been achieving various milestones. As of October 22, the total number of transactions on Shibarium has surpassed the 3.5 million mark, with a remarkably swift block time of just five seconds.
At the same time, there’s a growing emphasis on burning excess SHIB tokens. A recent report by Finbold on October 18 indicated that the SHIB burn rate skyrocketed by 419.94% within 24 hours, resulting in nearly 40 million SHIB tokens being removed from its total supply in a single day.
SHIB price analysis
By press time, Shiba was trading at $0.000007006, showing daily losses of about 0.60%. The token has seen relatively minor changes on the weekly chart, with a 0.21% increase.
Regarding technical analysis, Shiba Inu is currently dominated by bearish sentiments. A summary of the one-day gauges obtained from TradingView corresponds to a sell sentiment score of 12, which aligns with the 10 from the moving averages. Oscillators are currently neutral, registering a score of 8.
Finally, the prospects of SHIB also depend on the overall momentum in the broader cryptocurrency market.
Disclaimer: The content on this site should not be considered investment advice. Investing is speculative. When investing, your capital is at risk.
