Ethereum
Here’s the New Shiba Inu Price and How the Zeros Will Shrink If Ethereum Hits $5 Trillion Market Cap as ETH ETF Trading Begins
If Ethereum’s market cap hits $5 trillion after the ETF approval, Shiba Inu’s price could reach unprecedented levels if it follows ETH’s trajectory.
The Ethereum ETF products began trading on July 23, after receiving final approval from the U.S. SEC. On their first day of trading, the nine ETFs witnessed $106.8 million In terms of net inflows, trading volume reached an impressive $1.112 billion. Following net flows, the products now have assets of $10.2 billion.
These early numbers have exceeded expectations, strengthening confidence in the future performance of the products. Amid the optimism, bullish sentiments around Ethereum have resumed. Notably, Citi expects to Ethereum ETFs are expected to see $5.4 billion in net inflows in the first six months. Additionally, analysts are predicting a $5,000 target for ETH.
Correlation between Shiba Inu price and Ethereum price
This is one of the many projections surrounding Ethereum. Interestingly, if the crypto token records one of these rallies, the phenomenon could have a positive impact on other assets like Shiba Inu. This is due to Shiba Inu Correlation Matrix with Ethereumwho IntoTheBlock puts at 88% over a 60-day period.
This means that Shiba Inu experiences a price increase every time Ethereum increases in value. This pattern is illustrated in a CoinMarketCap chart featuring the two assets. Notably, over the past week, SHIB and ETH have been moving side by side. However, Shiba Inu typically experiences larger price swings due to its higher volatility.
Shiba Inu price could reach unprecedented levels if it follows ETH’s trajectory, if Ethereum reaches $5 trillion market cap after ETF approval.
Shiba Inu Price If ETH Hits $5 Trillion Market Cap
Citing this correlation, The Crypto Basic assessed the extent to which Shiba Inu ETH’s price could rise if it follows Ethereum’s trajectory in the event that ETH’s market cap reaches $5 trillion. Ethereum’s market cap, currently at $405.7 billion, would reach $5 trillion if ETH’s price reached $41,587. This valuation assumes that the supply of 120 million ETH remains stable.
Meanwhile, Ethereum is currently trading at $3,375. For the price to reach the target of $41,587 from this level, it would need to increase by 1,132%. Interestingly, if Shiba Inu follows a similar trajectory, its price would rise from the current $0.00001711 to a new all-time high of $0.0002108. SHIB’s market cap would rise to $124 billion at this price, surpassing BNB’s current market cap. SHIB would lose a zero in such a case if it increases by 1,132%.
However, if Ethereum hits this target price, could Shiba Inu rally past 1,132% due to higher volatility? However, despite the appeal of this valuation, it is important to note that Ethereum may not reach the $5 trillion market cap. Even if it does, SHIB’s price may not follow Ethereum’s path due to its unique sentiments.
Disclaimer: This content is informational and should not be considered financial advice. The opinions expressed in this article may include the personal opinions of the author and do not reflect the opinion of The Crypto Basic. Readers are encouraged to conduct thorough research before making any investment decisions. The Crypto Basic is not responsible for any financial losses.
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