Dog themed meme piece Shiba Inu is currently up 17.7% on the day and 30% over the past week.
The upward momentum marks the highest Shiba Inu (SHIB) reached since April 1.
Several media reports suggest that the rally is due to a massive increase in burn rate – by more than 7,400% – and reduced supply. It remains to be seen whether this momentum will be maintained.
In an X of November 21 jobAnalyst Ali Martinez predicted that SHIB could rise as high as $0.000037, or 54% above its price at the time.
Another analyst, Javon Marks, foreseen a potential rally to $0.000081, representing an increase of over 200%.
Shiba Inu Tokens Continue to Burn
Sunday, Shiburn data revealed a 984.26% spike in the number of Shiba Inu tokens burned over the past seven days, with the circulating supply now at approximately 589.2 trillion.
Crypto.news previously reported that Shibariumits layer 2 blockchain, has processed more than 541 million transactions in recent months.
Observers note that network growth is bullish for SHIB, as transaction fees – collected in BONE tokens – are partially converted to SHIB and burned, further reducing supply.
BONE is the governance token of the Shiba Inu ecosystem, allowing its holders to participate in decision-making via what is called Doggy DAO.
It is essential for the Shibarium Layer 2 blockchain, where it is used to pay gas fees and incentivize validators and delegators. His role highlights Shiba Inu’s transition from a meme token to a broader blockchain project with decentralized governance and utility.
The accumulation of SHIB whales is also a trend. By In the blocknet flow from large holders jumped 256% November 21. Whales accumulated 393.48 billion SHIB tokens worth over $9.8 million, compared to the $6 million sale recorded the previous day.
Bitcoins (BTC) foreseen overvoltage at $100,000 could also propel the Shiba Inu rally.
Shiba Inu started as a community cryptocurrency experiment and was heavily inspired by Dogecoin (DOGE), presenting himself as the “Dogecoin Killer”.
Unlike traditional cryptocurrencies, Shiba Inu has emphasized decentralization and a grassroots approach, relying on its community, the “Shib Army,” for its growth and adoption.
The token’s creator, known only as “Ryoshi,” has maintained anonymity and described himself as unimportant, saying the project belongs entirely to his community.