Will Robinhood List Shiba Inu Coin

It finally happened. After a lengthy await,
Robinhood
(HOOD
-0.50%
)

appear last calendar week the add-on of
Shiba Inu
(SHIB
-0.72%
)

to its popular trading platform. Three other pop cryptocurrencies —
Solana,
Compound, and
Polygon
— tin also now be bought and sold on Robinhood.

Unsurprisingly, Shiba Inu soared on the news. Its price rose as much equally 34% at one point before giving up some of the gains. Could the Robinhood list fifty-fifty launch Shiba Inu to $0.001?

A smiling man looking at a laptop PC with a Shiba Inu dog standing beside him.

Image source: Getty Images.

Instance studies

I potential manner to determine how high Shiba Inu could go is to examine how other cryptocurrencies have fared after being listed on Robinhood. For example, the trading platform rolled out support for
Bitcoin
(BTC
0.03%
)

and
Ethereum
(ETH
-0.06%
)

on Jan. 25, 2018, in select markets.

Shiba Inu fans won’t discover much to like with these historical precedents, though. Afterward a relatively small bounce, both Bitcoin and Ethereum proceeded to sink over the next couple of months post-obit their listings on Robinhood.

Bitcoin Price Chart

Bitcoin Toll data past YCharts

Notwithstanding, at that place’due south a much ameliorate case study to apply. Robinhood began supporting
Dogecoin
(DOGE
-2.17%
)

on July sixteen, 2018. Shiba Inu has a lot more in common with Dogecoin than it does with Bitcoin or Ethereum. Within a matter of days of its Robinhood listing, Dogecoin jumped most 40%.

Dogecoin Price Chart

Dogecoin Price data by YCharts

Dogecoin went on to about double over the next couple of months. The bad news, though, is that this gain proved to be relatively brusque-lived. By the end of the yr, Dogecoin was in negative territory.

Too, it’s hard to argue that Dogecoin’due south big proceeds in late August and early September of 2018 was due to the altcoin being listed on Robinhood. Dogecoin’s price really fell 30% below its level before the Robinhood list before it surged.

Similar storylines

The storylines for Dogecoin and Shiba Inu leading upwards to their respective listings on Robinhood are quite similar. Dogecoin had skyrocketed 3,700% in the twelvemonth before its inclusion on the trading platform.

Merely the digital token hit a rough patch in 2018. By the time Robinhood listed Dogecoin, the cryptocurrency’south price had plunged 80% from its high.

Likewise, Shiba Inu delivered a spectacular performance in 2021. The meme coin vaulted more 74,000,000% higher at 1 betoken the yr before its Robinhood listing. All the same, Shiba Inu’s price was downward around 75% from that summit when Robinhood announced support for the token last week.

This doesn’t necessarily mean, though, that Shiba Inu is destined to repeat the trajectory of Dogecoin. There certainly are different dynamics at play in the cryptocurrency market place now than there were three years ago.

It’s a long fashion to three zeros

Still, it’due south a long mode to three zeros for Shiba Inu from its electric current price. The token would demand to soar roughly 3,900% to get to $0.0001.

Perhaps the listing on Robinhood will unleash tremendous demand for Shiba Inu that pushes its price much college. However, this scenario requires a stretch of the imagination. After all, Robinhood listings for other cryptocurrencies haven’t proven to be longer-term catalysts.

Recall as well that investors who use Robinhood have had other avenues to buy Shiba Inu for a while now. Sure, the power to trade the token on the aforementioned platform that they employ for stocks and other cryptocurrencies adds a level of convenience. But it’southward difficult to envision that the Robinhood listing volition enable Shiba Inu to accomplish $0.0001 past itself.

The last two words in the previous judgement are important, though. There are other catalysts on the way that combined could allow Shiba Inu to generate monster returns this yr. But just equally Shiba Inu investors had to wait for the Robinhood list, they’ll also have to wait on these other developments.

Keith Speights has no position in any of the stocks mentioned. The Motley Fool owns and recommends Bitcoin, Compound, Ethereum, and Solana. The Motley Fool has a disclosure policy.

Source: https://www.fool.com/investing/2022/04/19/could-the-robinhood-listing-launch-shiba-inu-to-00/

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