Shiba Inu could eliminate zero from its price if Dogecoin reaches a market cap of $1 trillion.
Investors are closely watching Shiba Inu and Dogecoin, two of the world’s largest coins, and analyzing the mutual impact of their price movements.
This analysis has gained momentum as several analysts predict that Dogecoin could become the first meme coin to reach a market cap of $1 trillion. Despite being the largest meme coin, Dogecoin’s market cap is still around $50.88 billion. This is an 1,865% rally before hitting the $1 trillion valuation.
If it achieves this feat, its price will rise to $6.77 from the current value of $0.3447, assuming its circulating supply does not change.
How Dogecoin’s Rise to a $1 Billion Market Cap Could Impact Shiba Inu
Amid this optimistic projection, several investors are eager to know how Dogecoin’s potential rise to a $1 trillion market cap will impact the meme coin market, particularly Shiba Inu.
Shiba Inu, launched in 2020, has quickly established itself as one of the leading coins, with its utility extending beyond simple trading to decentralized finance (DeFi).
Several factors, such as the evolution of the Shiba Inu ecosystem, market sentiment, and its correlation with other assets like DOGE, have significantly influenced the price of SHIB.
As a reminder, Shiba Inu has an 83% correlation with Dogecoin over the past 30 days, reaching 88% over the past two months. However, Shiba Inu’s correlation with other top assets like Bitcoin and Ethereum has been low compared to Dogecoin.
This indicates that SHIB has moved in tandem with the price action of Dogecoin relative to any other crypto over the past 60 days.
Shiba Inu Price if Dogecoin Reaches $1 Billion Market Cap
At press time, Shiba Inu’s market cap is $12.75 billion, trading at $0.00002134. Assuming Shiba Inu experiences a proportional rise of 1,865%, like Dogecoin on its way to a $1 trillion market cap, its price will rise to $0.0004193.
Therefore, if Dogecoin reaches a market cap of $1 trillion, the Shiba Inu price could reach a staggering $0.0004193 per token.
At $0.0004193, Shiba Inu’s market cap will reach $250.53 billion if SHIB’s circulating supply of 589.25 trillion tokens remains stable. Additionally, investors with portfolios of 100 million SHIB, currently worth $2,134 at current prices, will see their investments rise to $41,930 if SHIB hits a target of $0.0004193.
Similar projections
The $0.0004193 target matches several optimistic predictions that top experts have made for Shiba Inu.
Last month, pseudonymous market observer CryptoELITES identified the formation of a bullish cup and handle pattern on the Shiba Inu chart, forecast a rise to $0.000472905 this cycle.
In October, popular market analyst Cantonese Cat reference Shiba Inu performance in 2023 forecasts a potential rise to $0.00047. Cantonese Cat highlighted that Shiba Inu was the only crypto asset to issue a buy signal at the time.
Even though Shiba Inu has demonstrated its prowess by posting substantial gains, its potential to reach the $0.0004193 target depends on several factors, ranging from market sentiment to burns. A considerable portion of the 589.25 trillion Shiba Inu needs to be incinerated to reach the target quickly.
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