The Shiba Inu price has underperformed other popular meme coins over the past few days. SHIB is trading at $0.000026 on Monday, where it has been stuck since November 10, as investors anticipate more upside as the depletion rate rebounds.
Shiba Inu Price Set to Rise 76% as 6.8 Million SHIBs Are Burned
A potential catalyst for SHIB Price is that the number of coins in circulation continues to decline, aided by the high consumption of tokens. Shiburn data shows that the number of such burns increased by 40% in the last 24 hours to reach 4.85 million.
As a result, the number of Shiba Inu tokens continued to decline from the original 999 trillion to 410 trillion, a figure that will continue to decline in the future. Token burning occurs when SHIB coins are moved to an inaccessible wallet, either voluntarily or from ecosystem fees to be permanently removed from circulating supply.
These token burns help create value for existing tokens by reducing the number of coins in circulation. This is often compared to when a company does a stock buyback, which in turn increases earnings per share.
Some of the major players in this ecosystem are ShibaSwap and Shibarium. ShibaSwap is a decentralized DEX network where people trade tokens, while Shibarium is a layer 2 network that has completed over 500 million transactions. Data on its website shows that ShibaSwap volume jumped to $75 million this month, the highest level since March.
SHIB Price Analysis: Shiba Inu Bulls Preparing for Uptrend
In a post Knight Shiba popular crypto analyst predicted that SHIB was gearing up for its next step and looking “sent.”
The most bullish case of Shiba Inu price rising is a cup and handle pattern on the daily chart. This technical formation contains a rounded bottom that resembles a cup, which is often followed by a slight retracement that forms the cove. Hence the namesake.
The $0.000045 target for this setup is obtained by measuring the depth of the cup and adding it to the neckline, relating the swing heights of the cup and grip.
The upper part of this trend sits at $0.000030, where it has struggled to move above since May. According to this model, ongoing consolidation is part of the formation of a handle section. In most periods, this trend is one of the most bullish in the market.
Additionally, Shiba Inu price formed a golden cross pattern as the 50-day and 200-day exponential moving averages (EMA) formed a bullish crossover. Therefore, confirmation of the next step will come if SHIB breaks above the upper part of the cup at $0.000030. If this happens, SHIB could reach $0.000045, its highest level this year, approximately 76% above the current level.
On the other hand, this Shiba Inu Price Prediction will become invalid if the coin falls below the key psychological point of $0.000023. A decline below this level would indicate further decline, potentially to $0.0000158, its October 25 low.
Frequently Asked Questions (FAQ)
It has solid techniques after forming a golden cross pattern, cup and handle. A crossover above the cut will indicate further gains, potentially to the yearly high of $0.000045.
There is a good chance that the price of SHIB will see a sharp rise soon. However, a fall below the support at $0.000022 will invalidate the bullish view and increase the chances of it falling to $0.00001.
Shiba Inu’s burn rate continues, while analysts expect the ongoing cryptocurrency bull run to continue in the near term.
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Disclaimer: Content presented may include the author’s personal opinion and is subject to market conditions. Do your market research before investing in cryptocurrencies. The author or publication assumes no responsibility for your personal financial loss.
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