Shiba Inu Burns Bright: Can This Memecoin Reach New Heights?
Shiba Inu (SHIB), the popular memecoin, continues to hold investor interest despite its recent sideways consolidation. However, a recent surge in burn rates and positive technical indicators have fueled speculation about a potential breakout in the near future.
Burn Baby, Burn: Increased Token Removal Fuels Optimism
Shiba Inu’s burn rate has skyrocketed by a staggering 349% in the last 24 hours. This translates to a removal of approximately 13.6 million SHIB coins from circulation. Consistent burning of tokens aims to reduce the overall supply and potentially lead to a price increase in the long term.
Read more: Shiba Inu Burning Bright: A Spark of Hope Amidst Market Downturn!
Technical Analysis Suggests Bullish Momentum
Cryptocurrency experts are optimistic about SHIB’s future based on technical indicators. The Relative Strength Index (RSI) currently sits at 54.5, indicating that the asset is neither overbought nor oversold. This suggests potential room for growth.
Furthermore, the Simple Moving Average (SMA) analysis demonstrates a positive trend. The 50-day SMA has crossed above both the 100-day and 200-day SMAs, historically considered a bullish signal for traders.
Read more: Shiba Inu (SHIB) Paw Prints: A Potential Breakout to $0.00003237?
Community Spotlight: Trader Sees Imminent Launch
Crypto trader TheCryptoBull has ignited excitement within the SHIB community by suggesting that the coin’s chart “looks primed for launch very soon.” This prediction aligns with the positive technical indicators, potentially foreshadowing significant upward price movement.
Into The Block Data: A Mixed Bag
While the burn rate and technical indicators paint a promising picture, data from IntoTheBlock presents a slightly different perspective. There has been a 26.7% decrease in large transaction volume (transactions exceeding $100,000) and a 3% decline in daily active addresses. This could indicate a decrease in investor activity.
Read more: Shiba Inu 180% Upside Potential: A Bullish Rally or a Bearish Trap?
Despite the dip in daily transactions, the metric has managed to hold steady around the 4.5 million mark. This suggests a core base of active SHIB users.
Expanding Trading Options: Gemini Introduces SHIB Perpetual Contracts
The recent introduction of perpetual contracts for SHIB on the Gemini exchange has been seen as a positive development for the memecoin. These contracts allow users to trade SHIB against the stablecoin GUSD, providing greater flexibility for investors and potentially increasing trading volume.
Conclusion: A Watchful Wait for Shiba Inu
While the recent surge in burn rates, positive technical analysis, and expanding trading options suggest a potential bullish future for Shiba Inu, the decrease in large transaction volume and daily active addresses warrants cautious optimism.
Investors should closely monitor market developments and conduct thorough research before making any investment decisions. However, the current indicators suggest that Shiba Inu may be gearing up for a significant price move in the near future.
