$SHIB $SHIB
794 Trillion SHIB Prevents Shiba Inu From Deleting a Zero — What’s Holding SHIB Back?
Shiba Inu (SHIB), one of the most talked-about meme coins in the crypto space, continues to face resistance in its quest to delete another zero from its price. Despite strong community engagement and regular ecosystem updates, SHIB remains significantly below the $0.00001 mark. At the heart of this stagnation lies a staggering number: 794.41 trillion SHIB tokens still in circulation.
The Challenge of Excessive Supply
One of the main factors hindering SHIB’s price growth is its massive circulating supply. With approximately 794.41 trillion tokens still in existence, the token faces extreme dilution. For SHIB to rise significantly in price—even by a single decimal place—its market cap would need to reach astronomical levels unless supply is drastically reduced.
This makes the token burn mechanism a key part of the community’s strategy. While billions of tokens have been burned over time, these efforts pale in comparison to the sheer size of the total supply. Without large-scale burns or increased demand that can outpace supply growth, price movements remain sluggish.
Tokenomics: A Double-Edged Sword
SHIB’s original appeal was its accessibility—anyone could own millions of tokens for a small investment. But this design has become a double-edged sword. The high supply allows for widespread distribution but also makes meaningful price increases more difficult to achieve.
Even with strong utility initiatives—like Shibarium (the layer-2 blockchain), SHIB: The Metaverse, and increasing acceptance for payments—the overwhelming number of tokens continues to dilute the impact of adoption and development news on the token’s price.
Investor Sentiment and Market Trends
Sentiment in the broader crypto market also plays a role. During bull runs, meme coins like SHIB often experience explosive gains as speculative investors pile in. However, in less euphoric times, the realities of SHIB's tokenomics come into sharper focus.
