Often referred to as the “Dogecoin killer,” Shiba Inu (SHIB) has seen a significant increase in its token burn rate, which has led to optimism within the altcoin community. Despite the noteworthy increase in SHIB’s token burn rate, today’s price movement presents a mixed picture, with the token experiencing a slight decrease in value after recently reaching its peak. This skewed situation is a result of the general market trend, which also sees major cryptocurrencies like Bitcoin (BTC) and Ethereum (ETH) facing downward pressure.
Token Burn Rate Surges by 1055%
According to Shibburn’s data, Shiba Inu’s token burn rate has surged by an astonishing 1055% in the last 24 hours. The data shows that the Shiba Inu community has burned approximately 50.90 million tokens in the past day, effectively reducing the overall supply by sending them to an unusable wallet address.
While the increase in the token burn rate typically generates optimism among investors, SHIB’s price movement today paints a more complex picture. Despite rising to $0.00003147 in the last 24 hours, the token’s price is facing a slight decline, trading around $0.000030 at the time of writing. The inconsistency between the token burn rate and price performance has led to speculation about the altcoin’s future market dynamics.
Data indicates a 2.15% decrease in Shiba Inu’s price over the last 24 hours, with the altcoin currently trading at $0.00003035. This decline is accompanied by a decrease in open interest and trading volume in the derivatives market, suggesting a reduction in market activity and investor interest in the altcoin. However, despite the current downward pressure, the Relative Strength Index (RSI) indicates that the asset has not yet entered the oversold territory, reflecting the potential for price stability or recovery in the short term.
Analysts Anticipate Rally
In light of the Shiba Inu community’s consistent efforts in token burning and development initiatives for the network’s growth, some analysts remain optimistic about the altcoin’s price prospects.
Analysts suggest that historical patterns indicate a potential recovery and expect the altcoin to achieve a 16% rally, aiming for resistance levels of $0.0000345 and $0.000038.
