Shiba Inu Burn Rate Skyrockets 690%: Is SHIB Eyeing a Recovery?
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Coinspeaker
Shiba Inu Burn Rate Skyrockets 690%: Is SHIB Eyeing a Recovery?
Over the past 24 hours, the Shiba Inu (SHIB) burn rate increased by 690%, with more than 32.3 million tokens removed from circulation. Yet, the token’s price slipped by 3.3%, reflecting the broader market’s ongoing consolidation.
In total, over 410 trillion SHIB tokens have been burned to date, shows the data from Shibburn. Token burns reduce the circulating supply of a cryptocurrency, creating potential upward pressure on price, provided demand remains consistent or increases.
In SHIB’s case, while the recent burn is significant, it hasn’t yet offset short-term bearish momentum.
Shiba Inu Price Analysis
According to CoinMarketCap data, Shiba Inu, the second-largest meme coin is trading at $0.00001096, facing resistance at the 20-day Exponential Moving Average (EMA), sitting around $0.00001222.
On the technical front, the daily chart shows SHIB consolidating just above its lower Bollinger Band (BB) at $0.00001066, with the middle band near $0.00001253 acting as dynamic resistance.
It is important to note that if SHIB can break above the 20-day EMA and reclaim the middle Bollinger Band ($0.00001253), it may aim for the upper band resistance at $0.00001441. A move above that level would signal a stronger bullish reversal.
Conversely, if SHIB fails to hold the $0.00001066 support, it could revisit lower price ranges and test psychological support at $0.00001000.
The Relative Strength Index (RSI) currently sits at 35.02, close to the oversold zone, suggesting a potential bounce or short-term reversal if buying pressure increases.
However, the RSI remains below the 50-neutral line, indicating ongoing bearish sentiment unless a breakout occurs.
Analyst Predicts 550% Increase
Adding fuel to the bullish camp, analyst Javon Marks reaffirmed his price target of $0.000081 for SHIB, suggesting a potential upside of over 550%. He emphasized that a broader market recovery remains essential for such a rally to materialize.
Supporting this sentiment, on-chain analytics from IntoTheBlock reveal a 784% increase in large holder net flows, indicating heavy accumulation or strategic repositioning by whales.
Whale inflows have also climbed 315.4%, hinting at renewed interest from institutional players.
In a bid to boost community morale during turbulent times, Shiba Inu’s marketing lead, Lucie, urged holders to stay focused on progress. She highlighted forthcoming upgrades to Shibarium and ShibOS, positioning them as game-changers for the ecosystem.
According to Lucie, Shibarium is on track to become a top-tier platform, while ShibOS could see global adoption.
Shiba Inu Burn Rate Skyrockets 690%: Is SHIB Eyeing a Recovery?
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