Shiba Inu, the meme-inspired cryptocurrency that kicked off with an overwhelming bullish trend at the beginning of the new year, is still bringing bullish waves in the price graph as it makes headlines in the meme community. Despite the crypto market’s recent volatility with sudden price dips, SHIB’s price has managed to hold its momentum in a stable region.
SHIB Price Performs Bullish Despite Low Burn Rate
SHIB’s price is turning heads in the crypto world as it made a 20% surge in the last 24 hours, attracting the attention of retail investors in the market. However, while the recent price surge is building bullish hopes ahead of the Shibarium launch, SHIB’s burn rate needs to be promising enough to hold the upward momentum.
Despite a 20% price surge, Shiba Inu’s burn rate has remained unchanged, suggesting a reduced use-case as a payment tool.
Data aggregator, Shibburn noted that merchants who accept SHIB as payment mode and send it to a burning address are used to generate the burning volume, but this volume has recently formed a dip.
The website stated that the reason behind this drop is caused by decreased network activity or a decline in Shiba Inu’s popularity.
However, the weekly burn rate looks promising as 50 million SHIB tokens were removed from circulation, surging the burn rate by 150%.
Moreover, whale investors continue accumulating a massive amount of SHIB tokens as on-chain analytic firm Santiment noted a spike in SHIB transactions worth over $100K, hinting at an upcoming bullish shift.
Shiba Inu Is Testing The Market’s Patience
Despite concerns regarding Shiba Inu’s burn rate, the meme coin continues to print an impressive journey in the price chart. Moreover, technical indicators hint at a bullish trend continuation if bulls break through the next resistance levels without any hurdle.
As of writing, SHIB’s price trades at $0.00001446 and is currently heading toward its immediate resistance level. Crypto trading expert, MMBtrader, expects a long-term gain for Shiba Inu as it forms a solid ascending pattern.
The analyst predicts that SHIB holders may witness a heavy pump if the meme coin breaks above two major resistance levels at $0.000016 and $0.000021, respectively.
However, Shiba Inu may notice a minor downward correction to its 23.6% Fib level as it hovers near a crucial resistance level at $0.000015.
A bearish trend is expected as both Stoch RSI and RSI-14 trade near the overbought region, and a drop to their neutral territory may slump the meme coin to $0.000013.
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Shayan is a digital nomad and a professional journalist. He delivers high-quality engaging articles to Coinpedia through his in-depth research and analysis.
As investors continue to seek alternative and exotic investment opportunities, one asset class that has been gaining in popularity recently is cryptocurrency. One particular cryptocurrency, Shiba Inu (SHIB), has seen its price surge significantly in the last few weeks and its holders are getting ready for a hefty pump.
The SHIB token is a relatively new cryptocurrency, having only been launched in August 2020. This buzz-generating token has gained a lot of attention due to its fun and edgy aesthetic, its inclusion on a range of popular exchanges and its impressive performance. In the past month alone, its price has been growing steadily, reaching prices well above its peak in December 2020.
Today, investors are speculating that the SHIB token is about to experience a significant surge in its value. This speculation has been fueled by a series of favorable news events, including a major private investment. In addition, the token has recently been added to a large number of exchanges, which could attract more investors looking for alternative ways to invest their money.
The potential for significant growth has also been highlighted by resilient demand from new investors. Despite some recent drops in the price, daily trading volumes are higher than ever, suggesting that new investors believe in the token’s potential for long-term gains.
SHIB holders will be closely watching out for any price developments over the coming days and weeks. With such positive sentiment and a growing investor base, many are expecting the token’s price to explode above the current levels and set new highs. Whether or not this will be the case remains to be seen, but it is clear that investors have high expectations for the token’s future.