Shiba Inu (SHIB), one of the most popular meme-based cryptocurrencies, recently burned 17 million tokens, according to Shibburn.com. While token burns are intended to reduce supply and increase scarcity, this specific burn—worth only about $500—had minimal impact on SHIB's $16.58 billion market cap.
The Role of Token Burns
Burning tokens is a strategy used to reduce a cryptocurrency’s overall supply, theoretically increasing its value. However, with Shiba Inu’s vast supply, small-scale burns like this one are unlikely to significantly affect its price in the short term.
Community and Ecosystem Growth
Shiba Inu’s growth has been driven by its passionate community and its role in the broader meme-coin movement. The coin is currently trading near $0.000028, staying close to its 21-day moving average (DMA). It also recently rebounded from its 50DMA, suggesting that bullish sentiment may continue.
Optimism surrounding SHIB is partly fueled by broader developments in the U.S. crypto market. Some analysts believe regulatory clarity from the incoming Trump administration and Congress could benefit cryptocurrencies, including meme coins like SHIB.
Could Shiba Inu Experience Parabolic Growth?
There is growing speculation that SHIB could see a parabolic rally. Prominent crypto trader Astekz recently noted its "parabolic potential," while another analyst, CryptoBull, suggested SHIB might break free from its long-term downtrend.
Shiba Inu's use cases within decentralized finance (DeFi) and non-fungible token (NFT) platforms add further utility to the token, supporting its growth potential. If SHIB surpasses its previous all-time high of $0.000090, it could enter a "price discovery" phase, leading to exponential growth. Some believe SHIB's market cap could rise tenfold, hitting $150 billion, especially if Bitcoin reaches $200,000, which would boost its total market cap to around $4 trillion.
SHIB Price Predictions for 2025
Several platforms have released their price forecasts for Shiba Inu in 2025. Here’s a summary:
While some forecasts are conservative, like Binance's 6.61% increase, Changelly is far more optimistic, predicting a 137.53% price increase by 2025.
Final Thoughts
Although the recent token burn had a minor impact on Shiba Inu's price, its strong community, expanding ecosystem, and increased regulatory clarity could support long-term growth. While 2025 price predictions vary, many analysts believe SHIB has the potential for steady gains, especially if the broader crypto market sees bullish momentum.