Shiba Inu Burn Rate Skyrockets 6223%, Can SHIB Reach $1?
Shiba Inu (SHIB) saw an unprecedented surge in its burn rate, jumping by 6223% in a single day, according to Shibburn data.
On November 18, over 290,321 SHIB tokens were removed from circulation. This aggressive token reduction highlights a growing effort to tighten SHIB’s supply, a critical factor driving bullish sentiment. In the past week alone, 135 million SHIB tokens were destroyed, leaving the total circulating supply at 589.26 trillion tokens.
The surge in the burn rate aligns with the basic economic principle of supply and demand. With fewer tokens available, speculative pressure has increased, prompting optimism about SHIB’s price potential. This burn event has also garnered significant attention from crypto enthusiasts, especially as SHIB gains prominence among meme coins.
https://twitter.com/Mikeethmaxi/status/1858448858843615275
Is SHIB on Track for a Major Price Breakout?
Shiba Inu is currently trading at $0.00002573, marking a 1.30% increase in the last 24 hours. The price has broken above a crucial pivot point at $0.00002482, suggesting a potential bullish breakout. Immediate resistance lies at $0.00002602, followed by $0.00002774 and $0.00003045. On the downside, key support levels are at $0.00002418 and $0.00002262, which are reinforced by an ascending trendline.
Technical indicators further solidify the bullish outlook. The Relative Strength Index (RSI) stands at 59.88, showing strong momentum but cautioning traders as it nears overbought levels. The 50-day EMA at $0.00002450 provides a robust short-term support zone, suggesting a sustained rally if buying momentum persists.
However, sellers could regain control if SHIB fails to hold above $0.00002482, potentially pushing prices lower toward $0.00002262.
Key Factors Driving SHIB’s Outlook
Supply Reduction: A 6223% burn rate increase highlights reduced circulating supply, boosting market sentiment.
Technical Strength: RSI at 59.88 and 50-day EMA at $0.00002450 signal a bullish short-term trajectory.
Resistance Levels: A breakout above $0.00002602 could propel SHIB to $0.00003045, while failure risks declines to $0.00002262.
ABOUT THE AUTHOR
See More
Sidebar rates
Join 350 000+ traders receiving Free Trading Signals
Alerts
Rates
Calendar
Signals