TL;DR
- SHIB’s Recent Performance: Shiba Inu (SHIB) has seen a gradual increase in its price over the past two months, with some analysts predicting a potential rally for the memecoin in the future.
- Influence of a Bitcoin ETF on SHIB: There is speculation that the launch of a spot Bitcoin ETF in the USA could positively impact SHIB and other cryptocurrencies, as it might attract significant investment into the market.
- Other Factors Affecting SHIB’s Value: The article also discusses SHIB’s burning mechanism and the development of its layer-2 blockchain solution, Shibarium, which could influence its market value.
SHIB to Explode Following This Potential Event?
Shiba Inu (SHIB) – the second-biggest memecoin by market capitalization and an asset that continues to capture much of the investors’ attention – has experienced a gradual price appreciation in the past two months, rising by approximately 60%.
Multiple crypto analysts believe this uptrend is just the beginning of an explosive rally that could take the token to new peaks. One person supporting that thesis is Jalaleddin Hatefi – founder and CEO of the memecoin project PawZone.
In his view, SHIB and PAW (another dog-themed digital asset) could benefit from the potential launch of a spot Bitcoin ETF in the USA, an event described by the executive as “one of the biggest catalysts of all time.”
Hatefi thinks the possible introduction of such a product in the USA would not lead to a “buy the rumor, sell the news” scenario but allow a “ton of big money” to flood the cryptocurrency market.
He also predicted that the American regulators would approve numerous BTC ETFs, which could pave the way for the launch of other exchange-traded funds with different cryptocurrencies as underlying tokens.
Last but not least, PawZone’s CEO presented a chart depicting gold’s valuation and its massive price surge following the introduction of the first ETF based on the yellow metal in the US in 2004.
The potential approval of a spot Bitcoin ETF in the USA is highly anticipated by crypto participants and investors as it could indeed cause an uptrend for the entire sector. The existence of such a product in the world’s largest economy can increase the accessibility for people to jump on the bandwagon and add another dose of legitimacy to the asset and the market as a whole.
It would also show that regulators are not against the digital currency, possibly triggering a rising interest from institutional investors, who would be able to enter the ecosystem without having to purchase amounts of the asset itself. Such factors could lead to a BTC rally, and historically, such increases have positively affected numerous alternative coins, meaning Shiba Inu (SHIB) could be among the winners in the future.
What Else Could Trigger a SHIB Bull Run?
Other major elements that might result in a price rally for the self-proclaimed Dogecoin-killer are its burning mechanism and the further advancement of its layer-2 blockchain solution, Shibarium.
According to Shibburn, the project witnessed a burn rate spike of almost 100% in the past week, resulting in over 17 billion tokens sent to an address that nobody could access. The program aims to reduce the tremendous circulating supply of Shiba Inu and possibly make the asset more scarce and valuable in time.
For its part, Shibarium has reached numerous milestones lately. Daily transactions on the network have been in the millions since the beginning of December, with total transactions standing just shy of the 200 million mark.
Those curious to find out more about Shibarium, its purposes, and specifics could take a look at our dedicated video below:
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