While Aggressive SHIB Burns Are Often Seen as the Only Way for Shiba Inu to Reach $0.01, the Token Could Still Hit That Milestone Through Other Means

While aggressive SHIB burns are often seen as the only way for Shiba Inu to reach $0.01, SHIB could still hit that milestone through other means.

Shiba Inu's (CRYPTO: SHIB) price has struggled to keep up with the positive developments in the crypto market, remaining below the expected levels, especially with the U.S. government, now under Donald Trump's leadership, setting clear and fair regulations for the industry.

After the SEC declared that meme coins like Shiba Inu are not securities, we might expect the token to be trading at higher price levels.

Shiba Inu Price Action: At the time of writing, on Thursday morning, Shiba Inu was trading at $0.00001327, down 10.28% over the past week and 60.13% from its December 8 peak of $0.0003329.

Some Shiba Inu enthusiasts have remained optimistic about SHIB's potential surge to the $0.01 target. For instance, reaching the $0.01 price point would require a 75,257% rise from the current price of $0.00001327.

If this happens, Shiba Inu would have a market cap of $5.89 trillion, assuming its supply of 589.5 trillion tokens remains constant.

The $0.01 prediction has been a topic of discussion among the Shiba Inu community, with members weighing in on whether SHIB could ever reach the milestone.

While Shiba Inu's marketing lead, Lucie, believes that SHIB's potential surge to the $0.01 is more likely to happen, some critics have pointed out that the prediction is not feasible.

These critics maintain that Shiba Inu could only reach the $0.01 price point if it experiences an aggressive burn that would drastically reduce its supply by a huge margin.

However, some users opine that SHIB's price could reach the ambitious target if it stays closely correlated with Bitcoin (CRYPTO: BTC) and the premier asset's value spikes tremendously.

According to data from IntoTheBlock, Shiba Inu's correlation with Bitcoin stands at 92% over the past 30 days at the time of publication.

This implies that whenever the price of Bitcoin soars, Shiba Inu's value would also increase proportionally, and vice versa. Notably, Shiba Inu has a history of outperforming Bitcoin.

Therefore, a small surge in Bitcoin's price could translate to a heavy increase for Shiba Inu, potentially paving the way for SHIB's surge to the ambitious $0.01 target.

This analysis assumes that Bitcoin would still be the world's largest cryptocurrency by market cap even if Shiba Inu rises to $0.01.

As mentioned earlier, if the price of Shiba Inu rises to $0.01, its market cap would be $5.89 trillion.

For Bitcoin to maintain its dominance in the crypto market, its market cap would have to be greater than $5.89 trillion.

For instance, at a market cap of $5.89 trillion, each Bitcoin would be worth $296,585, assuming BTC maintains its circulating supply of approximately 19.86 million coins.

Now, if we consider that Bitcoin's valuation could be double that of Shiba Inu when SHIB rises to $0.01, then Bitcoin's valuation would be $11.78 trillion.

At this valuation, Bitcoin would trade at $593,171 per coin, which is a 516% increase from the current price of $96,265.

While this analysis is interesting to consider, it's important to note that there is no guarantee that Shiba Inu will ever reach a price target of $0.01, even if the price of Bitcoin increases significantly.

As always, investors are advised to exercise caution and conduct their own due diligence before making any investment decisions.