Shiba Inu (SHIB) Price Rebounds 5% as SHIB Burn Rate Surges by 280%

Shiba Inu (SHIB) has faced intense selling pressure since December, pushing the price below a critical support level of $0.0000200.

Shiba Inu (SHIB) has faced intense selling pressure since December, pushing the price below a critical support level of $0.0000200. The meme-based cryptocurrency recently dropped by 14% in just one week, causing concern among investors. However, the tides appear to be changing as Shiba Inu has rebounded, gaining 5% in less than three days.

A key factor contributing to this shift is a massive spike in the SHIB burn rate, which has led to the permanent removal of 12.5 million tokens from circulation. Shiba Inu’s burn rate surged by 280%, creating optimism among investors. The burning process involves sending tokens to wallet addresses that no one controls, effectively removing them from circulation.

As a result, the total supply of SHIB continues to decrease, creating scarcity, which can ultimately drive up its price. The most recent burn event, which reduced SHIB’s circulating supply to 589.25 trillion tokens, has raised expectations for a potential price pump.

This continued effort by the Shiba Inu community to reduce the token’s total supply has played a significant role in regaining investor confidence. The burning of SHIB tokens has been a hot topic among the community, with many expressing their hopes that it will lead to a substantial increase in the cryptocurrency’s value.

ShibOS and Ecosystem Improvements: What’s Next for SHIB?

The Shiba Inu project is evolving beyond its initial meme coin status. The recent launch of ShibOS, an operating system built on the blockchain, marks a new chapter in the development of the Shiba Inu ecosystem.

The introduction of ShibOS is designed to improve the functionality and applications of the SHIB token, enhancing its utility and value proposition. This expansion into new territories could attract new investors and further increase demand for the token.

The combination of supply reduction through token burns and ecosystem development is likely to maintain positive market sentiment. Investors have been closely monitoring these developments, with many hopeful that they could trigger significant upward momentum in SHIB’s price.

Technical Indicators Suggest Bullish Potential for SHIB

At the time of writing, Shiba Inu’s price is trading at $0.0000188, showing a slight increase of 0.75% in the past 24 hours. With a market cap of $11.08 billion and a 24-hour trading volume of approximately $228.86 million, SHIB remains an active player in the market.

Technical analysis points to a potential bullish reversal. After losing the support level of $0.0000200, SHIB’s price had been consistently forming red candlesticks, signaling seller dominance. However, the recent appearance of three consecutive green candlesticks indicates a possible comeback for the bulls. The price has gained momentum, supported by the increase in the burn rate.

Analysts predict that if SHIB manages to surpass the resistance level of $0.00001915, it could experience a 27% price increase. The MACD (Moving Average Convergence Divergence) has also triggered a golden crossover, and the histograms have turned green, indicating that a bullish rally may be on the horizon.

Looking Ahead: Is a Breakout Imminent?

Shiba Inu is now at a critical juncture. As the community continues to focus on supply reduction and Shiba Inu’s ecosystem expands, the cryptocurrency could be setting the stage for a breakout. Analyst Javon Marks has pointed out that if SHIB surpasses its current resistance levels, it could skyrocket to $0.0001553—a massive 261% increase.

With growing support from the Shiba Inu community, a rise in SHIB burn rates, and a potential breakout on the charts, investors are closely watching for the next big move. The combination of technical indicators and ongoing development signals that Shiba Inu may be preparing for a bullish resurgence in the coming days.

As SHIB continues to gain momentum, it’s clear that the cryptocurrency is far from just a meme coin. With strategic burns and a focus on long-term growth, Shiba Inu could be poised for an exciting future ahead.