Shiba Inu Coin, the second-largest dog-themed coin, rallied 50% in the last seven days to $0.00001425. This marked the largest move in a week since the beginning of February. Prior to this commendable bullish outlook, SHIB had rallied to $0.00001193 in December rising on positive sentiment and optimism for the approval of Bitcoin ETFs.

Like many cryptocurrencies in the market, Shiba Inu Coin faced increasing uncertainty in January, resulting in a correction below the $0.00001 level. The meme coin swept liquidity at $0.0000082 — 2024’s lowest point followed by a steady consolidation above $0.000009 ahead of this week’s massive breakout to $0.00001467.

Shiba Inu Coin Price Analysis: Navigating The Bullish Outlook To $0.00002

Every four-hour candle on Friday has closed below the immediate resistance at $0.000014. Traders would be interested in SHIB making a comeback above this level to reconfirm the uptrend.

A neutral yet rising Relative Strength Index (RSI) backs the bullish theory. Another debut into the overbought region may signal a major uptick in the price, prompting more buy orders from traders speculating on Shiba Inu ascending past $0.000015 this weekend.

Shiba Inu Coin price chart | Tradingview

The Moving Average Convergence Divergence (MACD) indicator upholds the positive sentiment, meaning SHIB has not exhausted the rally. A buy signal from the previous week reinforced the bullish grip, compelling traders to keep buying for more exposure or to hold onto their current positions.

Shiba Inu also sits on top of all key moving averages including the 20-day Exponential Moving Average (EMA), the 50-day EMA, and the 200-day EMA. If this position holds and the moving averages continue to catch up to SHIB price, a bullish outcome is most likely to occur.

Recommended: Shiba Inu News: Shibarium Integrates Tangem For Cold Wallet Solution

In other news, the Shiba Inu burn rate has been erratic this week, jumping 30,000% in 24 hours and falling to zero the next day. It is difficult to pinpoint why this is happening, considering that the current burn rate is down 63% to 1 million SHIB burned over the last 24 hours.

Shiba Inu’s token burn program has been lauded by many who say it is one of the most successful in the industry. So far, 410 trillion tokens have been removed from active circulation, leaving 581 trillion of available supply. About 7.6 trillion of the total supply of 589 trillion is locked in staking contracts.

Burning tokens or simply removing them from active circulation to a dead or unspendable wallet changes the dynamics of a project. There’s a need to cut SHIB’s supply to elevate its position in the market and allow it to gain value, especially in the bull market.

The post Shiba Inu Coin Price Analysis As Token Burn Rate Skyrockets Driving SHIB Rally appeared first on CoinGape.

---

Filed under: News - @ January 1, 1970 12:00 am