Billions of SHIB moved offline, and higher burn rates are fueling talk of a supply shock, but total supply is still extremely large.
Reaching $0.001 would require either massive market-cap growth or the destruction of hundreds of trillions of tokens.
Community burns help in the long term, but hype alone cannot sustain such a big price jump.
Shiba Inu has returned to the spotlight after new on-chain data showed billions of SHIB tokens being moved out of exchanges and into offline wallets. This trend has sparked talk of a possible ‘supply shock,’ with fewer tokens available for trading. When this number declines and demand remains the same or increases, the price can rise.
The idea of a Shiba Inu supply shock sounds powerful, but the numbers behind it reveal the true difficulty of this goal. Shiba Inu still has one of the largest token supplies in the crypto market, which makes price growth much more complicated than for coins with limited supply.
SHIB is trading near $0.0000072 at press time. The circulating supply is close to 589.24 trillion tokens, and the total market value is about $4.23 billion. These figures explain why reaching $0.001 is a huge challenge. If the price were to hit $0.001 with the same supply, the market capitalization would need to jump to nearly $589.24 billion.
This would mean a growth of around 139 times from today’s market cap. Another option would be to burn a large number of tokens, reducing the number in circulation. For example, 585 trillion SHIB would need to be removed if the market cap stayed near current levels. Both paths require extreme changes that have never happened before at this scale.
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In late January, blockchain trackers noticed several large movements of SHIB into cold wallets and burn addresses. These transfers were described in the media as “billions pulled offline.” Cold wallets reduce active supply as tokens are no longer available for daily trading. Burn addresses remove tokens permanently, reducing the total number of tokens.
These events created excitement in the community and renewed hopes of a supply shock. However, when compared with the total amount of almost 600 trillion tokens, the billions moved offline still represent a very small portion. The psychological impact may be large, but the mathematical impact is still limited for now.
Burn activity increased sharply in recent times. On January 1 alone, reports showed that more than 173 million SHIB tokens were burned within 24 hours. Some trackers noted burn rate increases of over 10,000 percent compared to previous days. This sudden jump reinforced the idea that SHIB is becoming more deflationary.
Community projects and ecosystem platforms continue to promote regular burns through transaction fees and special campaigns. Even so, burning hundreds of millions, or even a few billion, of tokens daily is still small compared with the trillions required to meaningfully change long-term supply. The burns are helpful, but they move slowly when viewed against the full supply.
For SHIB to reach $0.001, one of two things must happen. Either the market cap must grow into the hundreds of billions of dollars, or the circulating supply must be reduced by hundreds of trillions of tokens. Both options are very difficult.
Such growth would need strong demand from both retail and institutional investors. It would also require real-world utility, wider adoption of Shiba Inu ecosystem tools, and strong activity across major exchanges. Without these factors, price increases would likely be short-lived and driven more by hype than by fundamentals.
Meme coins like SHIB are heavily influenced by emotions and trends. News, social media hype, and influencer attention can drive sudden rallies. But history shows these moves often fade quickly. A stable rise toward $0.001 would need more than excitement. It would need long-term confidence, steady user growth, and a positive overall crypto market environment.
Macro conditions also matter. If global markets remain cautious, risky assets like meme coins may struggle to attract enough capital for extreme price jumps.
Also Read: Cryptocurrency Comeback: Key Drivers Behind the Market's Latest Surge
The recent movement of billions of SHIB offline and the spike in burn activity show that the Shiba Inu community is active and serious about reducing supply. These events support the idea of a possible supply shock, but the scale is still too small to guarantee a move toward $0.001.
With a current supply of about 589.24 trillion tokens and a market cap near $4.23 billion, the gap to $0.001 remains very wide. Achieving that level would require either massive capital inflow or the permanent destruction of hundreds of trillions of tokens.
Both paths are possible in theory, but extremely hard in practice. The coming months will show whether this supply shock is only a temporary excitement or the start of a much bigger shift.
1. What does “billions pulled offline” mean?
It means large amounts of SHIB were moved to cold wallets or burn addresses, reducing tokens available for trading.
2. How much is SHIB worth right now?
SHIB trades around $0.0000072 with a circulating supply of 589.24 trillion tokens and a market cap of $4.23 billion.
3. Why is $0.001 such a hard target?
This target would require a market cap near $589 billion, or the removal of most of the current supply.
4. Are burns helping SHIB price?
Yes, burns reduce supply slowly, but current burn levels are still small compared to the total supply.
5. Can hype alone push SHIB to $0.001?
No, long-term growth needs real adoption, strong demand, and a positive crypto market, not only hype.
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