It\u2019s unfortunately that dog-themed altcoin Shiba Inu<\/strong>\u00a0(CCC:SHIB-USD<\/a><\/u><\/strong><\/span>) is considered a joke by some traders. Sure, Shiba Inu started off as a meme coin, but let\u2019s not ignore the token\u2019s evolution into a much more serious crypto asset.<\/p>\n Source: Jolanta Beinarovica\/Shutterstock.com<\/p>\n<\/div>\n Perhaps some investors are deterred by the coin\u2019s low price. As we\u2019ll see, it\u2019s far below a penny, or even a hundredth of a penny.<\/p>\n This means that the Shiba Inu token is prone to rapid price swings. Therefore, all positions sizes should be small \u2013 please don\u2019t load the boat on this one.<\/p>\n That being said, it\u2019s perfectly fine to accumulate some SHIB coins for their strong growth potential. Plus, they can be useful as a hedge against dollar inflation \u2013 a point reinforced by a well-considered token-pool-reduction strategy.<\/p>\n The first thing to bear in mind is that the Shiba Inu coin price will often follow the path of Dogecoin<\/strong>\u00a0(CCC:DOGE-USD<\/u><\/strong><\/a><\/span>).<\/p>\n This makes sense, since Dogecoin is the more famous and well-established of the two dog-faced tokens. So, be sure to monitor the price moves of both coins.<\/p>\n Next, there\u2019s no getting around this topic: Shiba Inu tokens are dirt cheap.<\/p>\n Practically anybody can afford to make an investment \u2013 heck, you can probably buy a million SHIB coins right now. The price was 0.000704 cents ($0.00000704) as of Sept. 29.<\/p>\n Just to give you a comparison, DOGE was 20 cents on that day.<\/p>\n There was a time, back in May, when the Shiba Inu price flew to 0.003431 cents, or $0.00003431.<\/p>\n So, 0.003 cents could be an aggressive but reasonable price target for the long-term \u201cHODLers\u201d (holders of the coin).<\/p>\n And if your time horizon is long enough, you might envision SHIB getting to a full penny \u2013 or zero, if you\u2019re on the other side of the trade.<\/p>\n Some commentators will claim that Shiba Inu\u2019s recent listing on\u00a0Coinbase Global\u2019s<\/strong>\u00a0(NASDAQ:COIN<\/u><\/strong><\/a><\/span>) cryptocurrency exchange should be considered the headline story.<\/p>\n I\u2019ll grant that it was a real game changer when Coinbase revealed that SHIB would be available for trading<\/a>\u00a0on Coinbase Pro starting June 17.<\/p>\n Coinbase\u2019s Sept. 16 blog posting<\/a> reinforces this point. On that day, the company made the Shiba Inu coin available on Coinbase.com and in the Coinbase Android and iOS apps.<\/p>\n Clearly, this little coin has come a long way since its launch<\/a> in August of 2020.<\/p>\n Getting a full Coinbase listing \u2013 not to mention tweets from the likes of Elon Musk and Vitalik Buterin \u2013 has raised SHIB\u2019s profile and earned it some respect.<\/p>\n The Coinbase clout has also buoyed the token\u2019s price. Simply getting listed on Coinbase Pro caused the Shinb Inu price to soar<\/a> 28.87% in just one day.<\/p>\n In the long run, however, I\u2019ll contend that Coinbase\u2019s influence won\u2019t be the primary catalyst for higher SHIB prices.<\/p>\n Rather, it will be the Shiba Inu token\u2019s value as a hedge against the dollar\u2019s inevitable decline in value.<\/p>\n Remember, the annualized U.S. dollar inflation rate has been 5% or greater for four consecutive months<\/a>.<\/p>\n While the government continues to print up dollars, Shiba Inu\u2019s developers are taking swift action to prevent the cryptocurrency\u2019s devaluation.<\/p>\n Not long ago, the project\u2019s developers announced<\/a> what\u2019s known as a coin burn.<\/p>\n This means that a coin holder transfers<\/a> a portion of his or her assets to a wallet which nobody can access. In effect, this destroys those coins and thereby reduces the cryptocurrency\u2019s total supply.<\/p>\n SHIB started with a supply of 1 quadrillion, but the Shiba Inu team gave 50% of it to Buterin, who burned most of that in a \u201cdead wallet.\u201d<\/p>\n Recently, the token\u2019s developers tweeted<\/a> that they \u201chave implemented a burn procedure to reduce\u201d the supply.<\/p>\n Moreover, they revealed<\/a> a $25,000 SHIB burn that has already taken place.<\/p>\n Traders should keep an eye out for more coin burns in the near future. In the dynamic between supply and value, less is definitely more.<\/p>\n Sure, it\u2019s possible to own Shiba Inu tokens for their moon-shot potential. After all, a timely tweet could send the price higher instantly.<\/p>\n If you\u2019re not seeking quick gains, though, then you might consider holding SHIB as an inflation hedge.<\/p>\n You\u2019ll have the backing of the coin\u2019s developers, who are serious about keeping the supply under control.<\/p>\n On the date of publication, David Moadel<\/i><\/span>\u00a0did not have (either directly or indirectly) any positions in the securities mentioned in this article.\u00a0<\/i>The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com\u00a0<\/em>Publishing Guidelines<\/a>.<\/em><\/p>\n<\/p><\/div>\n![\"Condescending](\"https:\/\/investorplace.com\/wp-content\/plugins\/lazy-load\/images\/1x1.trans.gif\")
<\/p>\nAnalyzing the Shiba Inu Price<\/h3>\n
Coinbase Clout<\/h3>\n
Burning Desire for Higher Prices<\/h3>\n
The Bottom Line<\/h3>\n