The Shiba Inu has not always had a high correlation with Bitcoin. This number has fluctuated quite dramatically over the years. Negative to positive regional oscillations have frequently occurred in 2020 and 2021 in the past. But the number has mostly remained above zero since last year. During this period, it fell into negative territory only once. This means that over the past 1.5 years, the price of Shiba Inu and Bitcoin have been more closely aligned than ever before.
Recently, Standard Chartered updated its predictions for Bitcoin. According to its research, the value of the largest crypto asset could rise to $50,000 by the end of this year and $120,000 by the end of 2024. The upcoming halving event in April 2024 is expected to have a positive impact on BTC. After each halving in the past, the price of Bitcoin has repeatedly appreciated. So, given the Shiba Inu’s current high correlation with Bitcoin, will the asset’s price be positively affected as well?
Shiba Inu Witnesses First Bitcoin Halving
Bitcoin’s last halving occurred in May 2020. At that time, there were no Shiba Inu dogs on the market. The cryptocurrency universe’s current second-largest meme asset was only launched in August 2020. The asset's debut was rather unspectacular. Judging from the peak around launch, the asset quickly depreciated in value. There was a brief recovery in early September of that year, but it did not bring any long-term relief. In mid-January 2021, the asset was trading at 9 zeros.
However, over the next few months, SHIB slowly began to gain traction and major exchanges began listing it. By May 2021, SHIB has been listed on Binance, OKEx, etc. After listing, SHIB managed to reach a peak of $0.00003532. Meanwhile, BTC gained around 600% from halving day to mid-May 2021. Therefore, although Shiba Inu did not immediately join the halving trend after Bitcoin was launched, it eventually caught up. Now that these assets are more interdependent and the Shiba Inu has its own army to back it up, SHIB is expected to follow suit and shave a few zeros off its price.
