Shiba Inu Burns 535M Tokens in a Week—Is a 22% Price Surge Next?
Shiba Inu (SHIB) has grabbed a lot of attention after a massive increase in its weekly burn.
According to Shibburn, 535.85 million SHIB were burned in the last 7 days which is a 415% increase in burn rate. This is in line with the community’s efforts to reduce supply and increase the value of the token over time.
410.49 trillion SHIB have been burned so far and the deflationary mechanism is playing a big role in shaping the coin’s future price action. The burn mechanism permanently removes tokens from circulation by sending them to a null address. This reduces the overall supply and creates scarcity.
SHIB Gains 2% Amid Market Optimism
The latest burn is already reflected in SHIB’s price action. On Saturday Shiba Inu went up 2% intraday and reached $0.00001276 after fluctuating between $0.00001244 and $0.0000129. The price is up as the broader crypto market is recovering.
In the last 24 hours another 5.11 million SHIB were burned. 999.99 trillion SHIB were created originally and the cumulative burns are a significant portion of the total supply. This sets up SHIB for a potential price increase in the coming weeks.
Can SHIB Surge Another 22%?
A crypto market analyst Rose Premium Signals noticed a critical pattern on SHIB’s 4 hour chart. According to the analysis SHIB is testing the upper resistance of a falling wedge pattern which is a pattern that often leads to a breakout.
Key price levels to watch include:
$0.00001375 (initial breakout target)
$0.00001485 (secondary resistance level)
$0.00001565 (22% rally from current levels)
If SHIB breaks above the 50-day MA bullish momentum could strengthen and we could see more price action. But macro factors and overall market trend will still be in play.Now that the burn is firing and the market is bouncing can SHIB go up 22%?
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