Introduction
As of 5th August 2023, the Shiba Inu (SHIB) price has experienced a 9.12% increase in the last 24 hours, with the current price being $0.000009125. The question on everyone’s mind, especially those who have invested or are considering an investment in SHIB, is: when will Shiba Inu reach one cent? Let’s take a look at this Shiba Inu price prediction article in more detail.
In order to provide a nuanced and calculated prediction, we will take a look at the past and current market trends, the intrinsic value of SHIB, and future plans for the token’s development. It’s crucial to remember that cryptocurrency values are highly volatile and can change rapidly due to a multitude of factors.
Shiba Inu has displayed significant growth since its inception. The token had a nearly non-existent price at the beginning of 2020 but saw explosive growth in 2021 and 2022. From the start of 2022 to the current date in 2023, the price has risen from $0.000001 to $0.000009125. This constitutes a growth rate of approximately 812.5%.
Shiba Inu price prediction: Predicting Future Growth
Predicting the future growth of a cryptocurrency is a challenging task due to the highly volatile nature of the market. However, for the sake of this article, we will employ a simplistic linear growth model, which is based on its historical performance.
For Shiba Inu to reach $0.01 (one cent), the price would need to increase by approximately 109,589.04% from its current price. Now, if we were to consider the past 18-month growth rate of 812.5% as a constant rate (which is admittedly a rough estimation), we could divide 109,589.04% by 812.5% to find the estimated time.
This calculation results in approximately 135 months or roughly 11.25 years for Shiba Inu to reach one cent, provided the growth remains linear and the market conditions remain favorable.
Shiba Inu price prediction: Detailed Calculation Breakdown
To make the projection more accessible, let’s break down the calculations step-by-step:
Step 1: Calculate the Required Percentage Increase
Firstly, we need to find out how much of an increase in price is required for SHIB to reach one cent from its current price of $0.000009125.
- We first define the target price ($0.01) and the current price ($0.000009125).
- Then we calculate the difference between the target price and the current price, which will give us the necessary increase per coin:
- $0.01 (target price) – $0.000009125 (current price) = $0.009990875
- Now we need to express this necessary increase as a percentage of the current price. We achieve this by dividing the necessary increase by the current price and then multiplying by 100 to get a percentage:
- ($0.009990875 / $0.000009125) * 100 = 109589.04%
So, the price of SHIB would need to increase by approximately 109589.04% to reach the target price of $0.01.
Step 2: Estimate the Time Required for This Increase
After knowing the required percentage increase, we aim to estimate how long this increase might take given the past performance of the SHIB token.
- We consider the past 18-month growth rate to be constant for the future, which is 812.5%. This is a simplification and might not reflect actual future performance due to a multitude of factors.
- To find out how many of these 18-month periods are needed for SHIB to increase by 109589.04%, we divide the total required increase by the growth rate per period:
- 109589.04% (required increase) / 812.5% (growth per 18-month period) = 134.95 periods
- As each period is 18 months, we then convert these periods into years for a more understandable timeline:
- 134.95 (18-month periods) * 18 (months) / 12 (months in a year) = 11.24 years
So, based on this linear growth assumption and given the current and target prices, it would take approximately 11.24 years for the price of SHIB to reach $0.01. However, as reiterated throughout, this is a simplified prediction and actual market performance could differ significantly.
Shiba Inu price prediction: Factors That Could Influence Shiba Inu’s Growth
While this linear growth prediction gives us a rough timeline, it’s important to remember that real-world growth is rarely so straightforward. Numerous factors can accelerate or decelerate Shiba Inu’s growth.
Market Conditions: A crypto bull run in the cryptocurrency market could significantly accelerate Shiba Inu’s growth, while a bear market could slow it down or even lead to a decrease in value.
Adoption: Widespread adoption of Shiba Inu for transactions and services would likely increase its value.
Regulation: Regulation and legal acceptance of cryptocurrencies vary widely by country. Increased regulation or outright bans can negatively impact a cryptocurrency’s value.
Community Support: As a meme coin, Shiba Inu’s value is heavily influenced by its community. An active, growing community can positively impact its value.
Binance Approves Shiba Inu as Collateral: Enhancing SHIB’s Utility and Flexibility in the Cryptocurrency Market
Binance, one of the world’s leading cryptocurrency exchanges, has approved the use of Shiba Inu (SHIB) as a collateral asset for flexible loans on its platform. This means that if you hold SHIB tokens, you can now use them as collateral to borrow other cryptocurrencies. Essentially, you can unlock the value of your SHIB holdings without having to sell your tokens.
This gives SHIB a new utility and allows holders to leverage their investments in SHIB for additional financial flexibility. Just like taking a loan against your house or car, you can now do the same with your SHIB tokens. It’s a significant move as it demonstrates the growing acceptance and utility of the Shiba Inu token in the broader cryptocurrency market.
Let’s assume you’re a Shiba Inu token holder and currently have 10 million SHIB in your digital wallet, which you believe will appreciate in value over time. However, you also want to invest in another promising cryptocurrency, say, Ethereum (ETH), but you don’t have additional cash to make the purchase.
This is where Binance’s new approval comes into play. Now that SHIB is approved as a collateral asset, you can use your 10 million SHIB as collateral to secure a loan in the form of another cryptocurrency like ETH.
Here’s a simplified version of how it might work:
- You put up your 10 million SHIB as collateral on Binance.
- Binance assesses the value of your SHIB and gives you a loan in ETH equivalent to a certain percentage of your SHIB’s value. This percentage can vary and is often less than 100% to protect the lender against volatility in the price of SHIB.
- You use the ETH loan to make your desired investment.
- Over time, you pay back the loan, often with interest, just like a traditional loan. If you fail to repay, Binance can sell off your SHIB to recover its funds.
- Once the loan is repaid, you regain full access to your 10 million SHIB, which hopefully, has appreciated in value.
This allows you to keep your SHIB while also having the chance to invest in other promising cryptocurrencies. This is the power unlocked by using SHIB as a collateral asset. However, it’s important to note that like all investments, this comes with its own risks, including the possibility of losing your collateral if the market turns against you. Always do your own research and consult with a financial advisor before making such decisions.
Conclusion
The prediction provided above is merely an estimate based on past growth and does not consider many unpredictable variables in the crypto market. It’s always important to do your own research and consult with a financial advisor before investing in any cryptocurrency. In the current climate, it’s estimated to take approximately 11.25 years for Shiba Inu to reach one cent if the growth remains linear and market conditions remain favorable. However, as with all cryptocurrencies, the path to this goal will undoubtedly be filled with ups and downs.