Shiba Inu (SHIB) : Is a Rally on the Horizon ?
The burn rate of Shiba Inu (SHIB) has recently seen a spectacular increase of over 300%, according to data reported by AMBCrypto. This token destruction mechanism reduces the circulating supply, a factor often seen as bullish by investors. By decreasing the amount of SHIB in the market, the potential scarcity could exert upward pressure on the price, especially if the demand remains stable or increases.
This burn strategy, orchestrated mainly by community initiatives, aims to support the token’s value in the long term. Data shows that millions of SHIB have been taken out of circulation in record time, fueling holders’ enthusiasm. However, a high burn rate does not automatically guarantee price increases; it all depends on the balance between supply and demand.
Technical Analysis of SHIB : Is the Bull Run Starting ?
Technically, Shiba Inu is showing encouraging signals. The price of SHIB has recently surpassed a key resistance around $0.0000125, a level closely monitored by traders. At the time of analysis, SHIB is trading at around $0.0000123, with a decrease of nearly 2.5% over the last 24 hours.
Indicators like the RSI (Relative Strength Index) have flirted with the overbought zone, at 68, suggesting a bullish momentum but also a risk of short-term correction.
From a broader perspective, SHIB appears to be heading towards a test of the major resistance at $0.0000158. If this level is surpassed with high volume, analysts believe a 70% rally could propel the token towards $0.000020, an important psychological level from the 200-day moving average.
Conversely, failing to hold the current support at $0.000011 could push SHIB back towards lower levels, around $0.0000098.
Another aspect to monitor is whale activity. Significant off-exchange transactions have recently increased, indicating that major market players are accumulating or repositioning their holdings. This dynamic could amplify volatility in the coming days.
Furthermore, the liquidations map shows that short liquidations have occurred in recent days. The bullish momentum could therefore continue and, more importantly, accelerate if the market remains in this uptrend.
Nevertheless, the overall sentiment for the memecoin SHIB remains negative. While it has been recovering for several days, investors remain cautious about this recent uptrend.
Should You Invest in SHIB Now ?
Despite the prevailing optimism, investing in Shiba Inu remains risky. The speculative nature of memecoins, combined with a high dependency on social media trends, exposes SHIB to sudden and unpredictable movements.
Moreover, a market correction in the general crypto market, especially if Bitcoin (BTC) were to lose its momentum, could drag SHIB into a downtrend. The massive liquidations observed recently on other altcoins serve as a reminder: caution is advised.
On the opportunities side, the high burn rate and bullish technical signals position SHIB as an asset to monitor for short-term traders. For long-term investors, the increasing adoption of projects related to the Shiba Inu ecosystem, like Shibarium, could bring fundamental value to the token. However, it is crucial to diversify positions and not succumb to FOMO (Fear of Missing Out) in the face of these rapid increases.
In summary, if SHIB corrects to $0.000098 and Bitcoin shows encouraging signs, SHIB could be an opportunity. Currently, the risks are too high as the memecoin faces its 50-day moving average and a strong resistance zone. However, if this resistance were to break, SHIB could soar by 70%.
If the trend remains bullish, here’s a handy guide to buy SHIB on the Weex platform in a few clicks:
- Create a Weex Account – Visit the official Weex website and sign up with your email or phone number. Confirm your registration by entering the code received via email.
- Verify Your Identity (KYC) – Complete the KYC verification by submitting identification documents and, if required, proof of address. This quick step is mandatory.
- Add Funds – In “Deposit,” fund your wallet with cryptocurrencies (USDT, BTC, etc.) or via fiat (credit card, bank transfer, subject to availability).
- Access the SHIB Market – Go to “Trading Spot,” type “SHIB” in the search bar, and select the SHIB/USDT pair to open the trading interface.
- Make the Purchase – Choose a market order for instant purchase or a limit order to set a specific price. Enter the desired quantity of SHIB, verify, and confirm your transaction.
