Token burns are a significant part of the Shiba Inu ecosystem. Hodlers are hopeful that more token burns can increase the value of SHIB. However, increasing the number of burned tokens is not an easy task.
Reducing the circulating supply of SHIB tokens by, say, 50% would definitely have a substantial impact on the token’s price. This follows the basic economic principle of supply and demand, where a decrease in supply, combined with steady or rising demand, typically leads to a higher price.
If half of the circulating SHIB tokens were burned, the total supply would go from 589 trillion to 294.5 trillion tokens. If demand stays the same, each SHIB token will double in price to maintain the same market value.
However, it’s uncertain whether demand for SHIB will stay constant. If the supply burn succeeds and SHIB’s price goes up, more investors might become interested, possibly driving the price even higher.
Conversely, there’s another possibility. If the supply burn fails to achieve the desired results and SHIB’s price doesn’t grow, or worse, it falls, it could lead to reduced interest among investors who may lose faith in the project. This could result in further price declines for SHIB.
The exact impact of a 50% supply burn on SHIB’s price is uncertain. It depends on various factors, including market demand, investor sentiment, and project performance, but it has the potential to significantly affect the token’s value.
Shiba Inu’s Current Burn Status
So far, the project has burned a total of 410,661,075,248,480 SHIB tokens. With the ongoing burn rate, many expect the burn rate to increase with the introduction of Shibarium.
Apart From Burns, Will Shiba Inu Reach $0.01?
According to SHIB’s lead developer, Shytoshi Kusama, as reported by LucieSHIB on X (formerly Twitter), burning tokens alone will not make the price go up. The only guaranteed way is to get more people to use and adopt the token.
So to confirm that ADOPTION is the right way🌝$SHIB Burns x Shytoshi answered pic.twitter.com/BizkLZ0V83
— 𝐋𝐔𝐂𝐈𝐄 | ✨Shibarium✨ (@LucieSHIB) September 4, 2023
Boosting demand and adoption for a project is a tough task. SHIB tried this by introducing its own Layer 2 network, Shibarium. Although this launch didn’t immediately impact the token’s price, it holds potential for the future.
Now, developers can build on the SHIB platform, which may encourage more adoption. As more users join, it could lead to a positive price movement. Shibarium has recently seen an increase in active daily wallets and a growing number of transactions.
Reaching $0.01 for SHIB is debatable. Achieving the necessary surge in users seems unlikely. Another factor to consider is its recent listing on a Japanese licensed exchange, which could affect its price.
Shiba Inu (SHIB) Listed on a Japanese Licensed Exchange
In a surprising turn of events amidst the cryptocurrency market’s decline, Shiba Inu (SHIB) continues to capture attention in Japan. BitTrade, a licensed Japanese crypto trading platform, has added SHIB to its list of supported cryptocurrencies. This underscores the strong demand for SHIB, even in a challenging market.
BitTrade’s decision to include SHIB highlights the significant interest and demand from the public for these assets. Unlike new crypto projects that often need to pay for exchange listings, well-established meme coins like SHIB can easily secure listings thanks to their large and active investor communities.
BitTrade joins the list of Japanese exchanges supporting SHIB trading. This trend began earlier this year when exchanges like Binance, Okcoin, and Bitpoint entered the Japanese market and quickly enabled SHIB trading.
／
今日から３銘柄の取扱い開始📣
シバイヌ(SHIB)、ダイ(DAI)、コスモス(ATOM)
＼SBI VCトレードでの取扱い暗号資産は
全部で【２０種類】になりました✨＜７月から提供開始予定＞
・DAIのレバレッジ取引
・ATOMのステーキングhttps://t.co/qfOmiKw716 pic.twitter.com/pnX7UOK9dB— SBI VC Trade (SBI VCトレード） (@sbivc_official) June 28, 2023
Furthermore, SBI VC Trade, backed by SBI Holdings, added SHIB to its platform in June. With multiple exchanges now supporting SHIB trading, it’s becoming more accessible for Japanese investors, leading to lower transaction costs.
Positive Impact on the Japanese Crypto Market
BitTrade, as a licensed Japanese crypto exchange, provides a secure environment for its users. This is especially important in Japan, where cryptocurrency regulations are strict. When trading on BitTrade, investors can trust that their assets are protected and meet regulatory requirements.
SHIB’s presence on Japanese exchanges will benefit the country’s crypto market by making it easier for Japanese investors to trade SHIB, potentially leading to higher trading volumes.
Also, this move might attract new investors to enter the cryptocurrency market, extending its reach and significance. The rising interest in Shiba Inu (SHIB) among Japanese investors could potentially have a global impact.
In Conclusion
- SHIB’s upward movement in the crypto market, even during a market downturn, is an exciting phenomenon to watch.
- However, only time can tell if SHIB will reach the speculated $0.01 mark, considering its recent progress, particularly with its new listing on the Japanese licensed exchange BitTrade.
- Remember, the crypto market is very unpredictable, so what happened in the past does not predict the future. Always stay up to date with the latest news before making investment choices.
Disclaimer: This piece is intended solely for informational purposes and should not be considered trading or investment advice. Nothing herein should be construed as financial, legal, or tax advice. Trading or investing in cryptocurrencies carries a considerable risk of financial loss. Always conduct due diligence.
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