- Reaching $5M with SHIB requires major price jumps or massive token holdings.
- SHIB burn rates are rising, potentially boosting value via reduced supply.
- Technical indicators hint at possible bullish momentum for SHIB in near future.
Shiba Inu (SHIB) has grown into a notable cryptocurrency within the market and with many investors looking for ways to secure their financial future, most are eyeing SHIB as a long-term asset to help them reach major financial goals, like retirement.
However, achieving a substantial target like $5 million through Shiba Inu requires both strategic planning and significant price appreciation. Investors need to consider the amount of SHIB they own and the potential for the price to rise dramatically over time.
Calculating the Amount of SHIB Needed to Reach $5 Million
The path to a $5 million valuation is a matter of simple math, but it highlights the scale of the required price move. At its current price of approximately $0.00001138, a holding of 100 million SHIB is only worth about $1,138. To reach $5 million, the price of SHIB would need to increase to around $0.05.
On the other hand, holding larger quantities of SHIB, such as 500 million or 1 billion tokens, can lead to more significant returns. If SHIB were to rise to $0.01, a 500 million SHIB holding would be worth $5 million, while 1 billion SHIB would hit the same target at $0.005 per token. However, such price increases are ambitious, and investors must be mindful that these scenarios are speculative.
Related: What a $1,000 Investment in Shiba Inu Could Be Worth If SHIB Hits $0.0007
Can SHIB’s Token Burn Help Its Value?
Shiba Inu’s burn mechanism is a key part of its long-term value proposition, as it creates a deflationary effect by permanently reducing the total circulating supply. Recently, the burn rate spiked significantly by 12,833.29%, with over 13 million SHIB tokens being burned within 24 hours.
This reduction in supply could eventually increase SHIB’s value if the trend persists. A decreasing token supply, combined with growing demand, can lead to upward pressure on the price, benefiting long-term holders.
Related: Analyst’s SHIB Price Target $0.000081, Technical Case for a 600% Shiba Inu Rally
The current circulating supply of SHIB stands at about 584.53 trillion tokens, down from an initial supply of 590 trillion. The burn mechanism, which has successfully eliminated trillions of tokens over time, continues to lower the total available supply. However, investors should be cautious as the price of SHIB has fluctuated, and additional market factors, including investor sentiment, may impact its price trajectory.
Technical Indicators Suggest Potential for Future Growth
Key technical indicators on SHIB’s price chart offer some insight into its potential future movement.
The Relative Strength Index (RSI), a measure of market momentum, currently sits at 41.24, suggesting that SHIB is in neutral territory, neither overbought nor oversold.
At the same time, the Moving Average Convergence Divergence (MACD) indicator, while still in bearish territory, is showing signs that the downward momentum is fading. This suggests that a bullish trend could be on the horizon if the MACD line manages to cross above its signal line, a move that traders often interpret as a buy signal.
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