Will SHIB’s Rising Burn Rate Rally Shiba Inu Price to $0.00004?

Highlights:

• Shiba Inu’s price plunged 1% to trade at $0.000026 as trading volume dropped. 
• Shiba Inu’s rising burn rate suggests a potential rally ahead.
• The burn rate mechanism aims to reduce the circulating supply and enhance the token’s rarity.

The Shiba Inu price has plummeted by 1% today to $0.000026, and its daily trading volume has decreased almost 1% over 24 hours, reflecting waning investor interest. SHIB is now down 10% in a week; however, it has risen 6% in a month and 166% in a year. 

Despite this setback, the Shiba Inu community continues to demonstrate notable commitment. In a single day, over 20 million SHIBs were removed from circulation, resulting in a spectacular 1987 % increase in the burn rate. This mechanism aims to reduce the circulating supply and enhance the token’s rarity, reflecting the followers’ desire to support the value of the crypto. 

These factors have fueled optimism about SHIB’s potential for a strong bullish rally in the near future.

Shiba Inu Statistical Data

Based on CoinmarketCap data:

• SHIB price now – $0.000026
• Trading volume (24h) – $664.96 million
• Market cap – $15.86 billion
• Total supply – 589.5 trillion
• Circulating supply – 589.25 trillion
• SHIB ranking – #13

Shiba Inu Price Aims for a Breakout Above the Descending Triangle

The price of the Shiba Inu (SHIB) has undergone a significant correction, from $0.000033 to $0.000027, a 10% decrease in a week. Meanwhile, the Shiba Inu meme coin trades well within the confines of a descending triangle.

Looking into the technical outlook, the oversold Relative Strength Index (RSI) suggests a rebound might be in play if the bulls gain momentum. Currently sitting at 39.52, if the bulls initiate a buy-back campaign, they could obliterate the resistance zone at $0.000033, paving the way for further gains.

However, the bears have breached the support level at $0.000028, coinciding with the 50-day SMA, and the 0.00002711, coinciding with the 200-day SMA. This suggests some bearish prospects in the SHIB market, complicating any attempt at significant recovery. This perspective informs about the asset’s current vulnerability in the face of a lasting downward trend.

On the other side of the fence, the MACD indicator flashes bearish, tilting the odds in favor of the sellers. This is evident as the MACD line has crossed below the orange signal lie, delaying the buying momentum. 

SHIB Long/Short Ratios Suggest Cautious Optimism

Although the technical outlook in the 4-hour chart paints a bearish picture, the Long/short positions in the Shib market suggest some cautious optimism. SHIB’s Long/Short Ratio showed 46.36% long positions versus 53.64% short, highlighting cautious market sentiment. 

This shows that the bears are in control of the market. However, despite the bearish lean, SHIB has displayed resilience, with buyers gradually gaining control as it is on the verge of a breakout in a descending triangle. If the buyers gain momentum at this level, the odds could shift towards the buyers as they extrapolate the gains towards $0.00004. 

Conversely, if the bears keep dominating and the bearish sentiments bolster, the Shiba Inu price could dwindle to $0.000024.