There are still reasons to believe that Shiba Inu (SHIB) could emerge as one of the principal gainers in this market cycle, despite its less impressive performance relative to other meme coins. These reasons are tied to the fundamentals of the meme coin, which suggest a bullish outlook for its future.
Why Shiba Inu Might Be The Best Choice This Cycle
Shiba Inu may prove to be the best choice in this cycle due to its burn rate. The volume of tokens being burned has seen a significant increase, heightening the potential for the meme coin to appreciate in value and witness substantial price surges. Notably, the burn rate surged by over 7,900%, which could potentially trigger a price increase to $0.00008.
Furthermore, Shiba Inu’s burn rate is expected to maintain its upward trend, thanks to the team’s strategic implementation of deflationary measures aimed at reducing the supply of coins in circulation. One such measure is the layer-2 network Shibarium, whereby a portion of the base transaction fees on the network is allocated to purchasing and burning SHIB tokens.
Remarkably, SHIB’s burn rate has continued to escalate even with Shibarium’s limited network activity. This indicates that the burn rate could experience a considerable increase once the layer-2 network revitalizes its user base. For reference, Shibarium burned over 33.8 billion SHIB tokens last December at its peak activity.
Another contributing factor to SHIB’s promising outlook is the upcoming launch of the privacy-centric layer-3 network, which will be integrated into the Shiba Inu ecosystem. This enhancement will elevate the utility of the meme coin and further support its adoption as an increasing number of users engage with its ecosystem. Additionally, there is a strong possibility that the Shiba Inu team will implement a similar SHIB buyback and burn mechanism on the layer-3 network, mirroring their approach with Shibarium.
Exciting Developments Ahead for SHIB
The efforts of the Shiba Inu team also contribute to a positive outlook for the meme coin, reinforcing its position as a top contender this cycle. Recently, the team has made several significant announcements that have provided a substantial boost for SHIB. Shiba Inu Exec Lucie announced the approaching launch of the Shib DAO and Foundation.
The Shib DAO will enhance the decentralization of Shiba Inu, allowing holders of SHIB, BONE, LEASH, and TREAT tokens to participate in making vital decisions within the ecosystem. This initiative will render the meme coin’s ecosystem more appealing, as community members will have input in the decision-making processes.
In parallel, the Shiba Foundation is responsible for ensuring that the DAO’s decisions are effectively implemented. They will also oversee assets like the Doggy Treasury and provide full transparency and accountability regarding these funds.
Lucie has also recently shared that Shiba Inu is partnering with Mass Finance. This financial entity will function as the “financial layer” for the Shiba State, and the collaboration is anticipated to enhance adoption and facilitate broader participation in the Shiba Inu ecosystem.
Furthermore, Shiba Inu Exec has hinted at the potential introduction of the SHI stablecoin, which may be launched within the Shiba Inu ecosystem. This development is likely to inject more liquidity into SHIB and ultimately lead to increased price rallies for the meme coin.
Featured image created with Dall.E, chart from Tradingview.com
