Will Shiba Inu [SHIB] reach 1 cent? Keep an eye on these TWO conditions!

Currently, analysts are actively engaged in projecting the next key targets for various cryptocurrencies. Memecoins, known for their high volatility, are frequently assessed based on the performance of other digital currencies.

Shiba Inu [SHIB] is no different. With an optimistic outlook for Q1, driven by the anticipated rise of Bitcoin, experts are contemplating SHIB’s future price prospects.

Is Shiba Inu on track to reach the 1-cent mark soon?

A glance at SHIB’s daily chart clearly indicates the prevailing bullish sentiment. Following a period of consolidation, SHIB experienced a significant uptrend characterized by seven consecutive green candlesticks.

Although a correction became inevitable after a 27% surge in a single day, the bulls swiftly regained control, preventing a steep decline. This resilience is a positive indication for SHIB, particularly given its meme status.

Currently priced at $0.00003030 (as of the time of writing), SHIB appeared to be nearing its resistance level from late March, making the upcoming days crucial for its short-term trajectory. A breakout beyond this level could signal further upward movement, while a retracement might be on the horizon if it fails to breach this barrier.

Nevertheless, for Shiba Inu to surpass the 1-cent threshold in the long term, it will require more than just daily price fluctuations.

With over 580 trillion SHIB tokens stored in whale wallets, their impact on SHIB’s price trajectory remains significant.

Curiously, whale interest in SHIB remained relatively stagnant for six months until the sudden spike in activity known as the “Trump pump” a month ago. This abrupt surge shed light on the strategic timing of their positions.

Therefore, unless there is a period of extreme greed in the broader market sentiment, strong accumulation by whales seems unlikely. This scenario could cast doubt on Shiba Inu’s ability to reach the one-cent mark, especially in the near future.

Understanding SHIB’s Potential Through Basic Psychological Insights

Memecoins like SHIB heavily rely on speculation, making them susceptible to drastic price fluctuations. While internal initiatives within SHIB, such as token burns, community projects, and DAO proposals, contribute to excitement, external factors play a critical role in shaping its future prospects.

Whale activity significantly influences SHIB’s price movements. Major holders with substantial stakes possess the ability to sway the market, often overshadowing community-led endeavors that generate short-term hype.

For SHIB to achieve long-term success, two pivotal factors usually come into play—either a surge in enthusiasm among major HODLers or a Bitcoin crisis that prompts investors to rebalance their portfolios, potentially including meme tokens for swift gains.

Consider the current scenario, for instance—while Bitcoin has been facing challenges since reaching its peak of $104k, SHIB has been buoyed by significant whale activity, posting daily gains exceeding 5% and resisting a downturn.

This underscores the substantial impact external factors, particularly whales, have on SHIB’s price movements.

Therefore, unless SHIB can establish a more decentralized support base, predicting when it might hit the elusive 1-cent milestone remains uncertain.