Shiba Inu's Shibarium A Memecoin's Price Potential
Shiba Inu (SHIB) emerged as a memecoin ERC-20 token on the Ethereum (ETH) platform, aiming to surpass the market cap of Dogecoin (DOGE), the pioneer memecoin. The pursuit of this goal has gained traction with the introduction of Shibarium, a layer-2 blockchain integrated into the SHIB ecosystem.
In an analysis by The Coin Perspective, it is projected that if Shiba Inu were to achieve Dogecoin's market capitalization of $10.6 billion, the value of 1 SHIB would amount to $0.000011. This forecast suggests a potential 45% increase over current SHIB prices, based on the anticipated fully diluted market cap of $10.2 billion at the time of reporting.
The calculation of the fully diluted market cap involves multiplying the current price of SHIB by the total supply of Shiba Inu tokens (1,000 trillion SHIB). This method offers a more accurate price prediction compared to considering the circulating market cap (589.3 trillion SHIB), as constant token circulation could impact the market cap without commensurately affecting the price.
Shibarium, the newly introduced layer-2 blockchain, holds the potential to drive greater demand for SHIB tokens. Bolstered by a thriving community, Shiba Inu has managed to attract investors, developers, and users since its inception, culminating in its ascent to the 15th position in market capitalization according to the Finbold index.
Operating as a Layer-2 (L2) blockchain for Ethereum, Shibarium enters the arena of competition with other L2 solutions like Arbitrum (ARB), Optimism (OP), and Base (by Coinbase). Its primary objective is to facilitate quicker and more cost-effective transactions within the Ethereum ecosystem. Additionally, Shibarium will house a decentralized exchange (DEX), a metaverse, and blockchain-based games such as Shiba Eternity.
The enigmatic developer behind the Shiba Inu ecosystem, Shytoshi Kusama, revealed that Shibarium's launch is scheduled post the Blockchain Futurist Conference in Toronto, slated for August 15-16, 2023. While initial expectations anticipated Shibarium's launch in May, recent posts from Shiba Archives now indicate a two-week timeline from August 11.
Presently, Shiba Inu trades at a value of $0.00001018, reflecting a day-on-day increase of 2.10% as of the latest data available on August 11.
In conclusion, the introduction of Shibarium has the potential to exert a significant influence on the value of Shiba Inu tokens. However, the extent of this impact hinges on broader sentiment within the crypto market, fluctuations in token demand, and other positive developments or news concerning the SHIB ecosystem.