Can Shiba Inu Reach $1 in 2025? The Answer Will Make Your Head Spin.

Key Points

• Shiba Inu's 45,278,000% gain in 2021 highlights the power of speculative frenzies, but they rarely last.
• The meme token is down 86% from its 2021 peak, as it struggles to find a catalyst capable of attracting new buyers.
• That said, there is a way Shiba Inu could stage another historic rally and potentially even reach $1, but the math will make your head spin.
• 10 stocks we like better than Shiba Inu ›

Had you invested just $3 in the Shiba Inu (CRYPTO: SHIB) cryptocurrency on Jan. 1, 2021, and held on until Dec. 31, you'd have become a millionaire, thanks to its staggering 45,278,000% gain that year. To this day, it remains one of the best annual returns in the history of the financial markets.

Unfortunately, speculative frenzies never last, and a lack of any concrete use case has prevented Shiba Inu from building sustainable long-term value. Its enormous supply has also been a major headwind. As a result, Shiba Inu is now trading at $0.000012 per token, which is 86% below where it peaked in 2021.

But the cryptocurrency industry has the wind at its back right now, thanks to the Trump administration, which is slashing regulation and enacting friendly government policies.

So, is there a pathway for Shiba Inu to stage another historic rally and reach $1 this year? The answer will make your head spin.

Image source: Getty Images. ## Crypto-friendly policies might not favor Shiba Inu

On the campaign trail last year, President Trump promised to make America the crypto capital of the world. Since taking office, he has made a number of moves to unlock value for the industry, like:

• Establishing a strategic Bitcoin (CRYPTO: BTC) reserve, where the U.S. government will store coins it seized as a result of criminal activity.
• Establishing a digital asset stockpile, where the U.S. government will store coins and tokens other than Bitcoin, which it seized as a result of criminal activity.
• Appointing a crypto czar named David Sacks, who will help lawmakers shape industry policy.
• Appointing industry advocate Paul Atkins as chairman of the Securities and Exchange Commission (SEC), who has already paused or withdrawn several lawsuits the agency initiated against crypto companies under the previous administration.

However, it's unclear whether any of those policies or appointments will actually benefit Shiba Inu. It isn't one of the cryptocurrencies that the government will hold in the digital asset stockpile, and a friendlier SEC won't be much help, considering the meme token has very few use cases -- in other words, there wasn't much activity for the agency to regulate in the first place.

Story ContinuesAs of this writing, only 1,068 merchants accept Shiba Inu as payment for products and services (according to crypto directory Cryptwerk) -- a drop in the bucket since there are approximately 350 million registered businesses globally. Shiba Inu is also a relatively poor store of value based on its performance since peaking in 2021. Unlike Bitcoin, which continues to set new highs, the meme token appears unable to build any real momentum.

Shiba Inu has a supply issue

There are 589.2 trillion Shiba Inu tokens in circulation, and if we multiply that figure by the current price per token of $0.000012, it gives us a market capitalization of around $7 billion. If Shiba Inu tokens were to trade at $1 each, simple math suggests its market capitalization would be a whopping $589.2 trillion.

That means Shiba Inu would be worth 11 times more than the combined value of all 500 companies in the S&P 500 (SNPINDEX: ^GSPC), which currently stands at $52.5 trillion. The meme cryptocurrency would also be nearly 20 times more valuable than the annual output of the entire U.S. economy, which was $29.7 trillion in 2024.

Back in 2022, UBS estimated the combined value of all assets held by every person, business, and government to be $454 trillion. The idea that Shiba Inu could exceed that value on its own is, quite frankly, ludicrous.

As a result, there is no way Shiba Inu can reach $1 per token in its current state. However, the community is banding together to "burn" tokens, which removes them from supply forever, typically by sending them to a dead wallet. In theory, the price per token should increase in proportion to the number of tokens burned, which could open up a pathway to $1.

Shiba Inu's path to $1 will make your head spin

If the Shiba Inu community burned 99.99998% of the 589.2 trillion tokens in supply to leave just 7 billion remaining, a price of $1 per token might be possible. The logic here is pretty simple: Shiba Inu's current market cap is $7 billion, so reducing supply to 7 billion tokens would have to push the price per token to $1 in order for the cryptocurrency to maintain its current value.

But only 1.3 billion tokens were burned in June, which implies an annualized rate of 15.6 billion tokens. That obviously won't be anywhere near enough to propel Shiba Inu to $1 in 2025. Here's the head-spinning part: It would take an eye-popping 37,769 years to burn the necessary amount of tokens at the current pace.

But it gets worse: If the community succeeded in burning supply down to just 7 billion tokens, nobody would make any money. Each investor would simply have 99.99998% fewer tokens, with each remaining token worth $1 instead of $0.000012, so their net financial position would be exactly the same.

Well, technically, investors would be significantly worse off after almost 38,000 years worth of inflation.

Should you invest $1,000 in Shiba Inu right now?

Before you buy stock in Shiba Inu, consider this:

The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and Shiba Inu wasn’t one of them. The 10 stocks that made the cut could produce monster returns in the coming years.

Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you’d have $694,758!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you’d have $998,376!*

Now, it’s worth noting Stock Advisor’s total average return is 1,058% — a market-crushing outperformance compared to 180% for the S&P 500. Don’t miss out on the latest top 10 list, available when you join Stock Advisor.

See the 10 stocks »

*Stock Advisor returns as of July 7, 2025

Anthony Di Pizio has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Bitcoin. The Motley Fool has a disclosure policy.

Can Shiba Inu Reach $1 in 2025? The Answer Will Make Your Head Spin. was originally published by The Motley Fool

View Comments