Shiba Inu (SHIB) continues to intrigue investors despite the unlikelihood of reaching $1. Recent analysis by Trade City Pro highlights the key obstacles preventing such growth.
Token’s Market Cap Limitations
Trade City Pro outlined arguments against Shiba Inu reaching $1, primarily due to its extensive token supply. With approximately 589 trillion tokens in circulation, hitting a $1 price would result in a $589 trillion market capitalization. For comparison, the entire cryptocurrency market sits at around $3 trillion, while gold's market cap is $19 trillion. This renders such an assessment of SHIB unrealistic.
Weekly Price Trends
Trade City Pro also analyzed the token’s historical price movements. SHIB remained within a defined trading range for 620 days, facing resistance at $0.00001171, after which it surged to $0.00003279 but declined again. Subsequent attempts to rally in December 2024 also failed. The double-top formation on the chart indicates a potential bearish reversal.
Trading Strategy and Investment Outlook
Experts do not see SHIB as a viable investment. Despite potential short-term gains, preference is given to low-market-cap altcoins. SHIB holders are advised to exercise caution: if SHIB falls below $0.00001296, it may be wise to temporarily exit. In summary, SHIB remains a speculative asset with a strong community, but reaching $1 in the current market is highly unlikely.
Amid market volatility, SHIB continues to be a subject of speculation. However, significant obstacles, such as its large supply and existing market conditions, render the $1 mark unattainable. Investors should make careful decisions, considering the existing challenges.
