The recent price surge of Shiba Inu and its notably elevated burn rate are fueling expectations of a potential bullish surge for the cryptocurrency, with analysts emphasizing that the increase in the number of transactions and the growth in active addresses could boost SHIB’s market momentum.
"The large increase in burn is playing a critical role in changing SHIB’s supply dynamics and puts it in a strong position for future earnings."
The recent price action of Shiba Inu has shown strong resilience in the market by breaking out of a long-term descending triangle formation. According to the latest data, SHIB is currently trading at $0.00002812, which is very close to the critical resistance level at $0.00003306. If this level is broken, it could start a new rise in SHIB’s price. The potential for a breakout is supported by positive technical indicators. The STOCH RSI is signaling that the asset is oversold, which could herald an impending recovery amid rising investor sentiment.
The increase in Shiba Inu’s activity metrics is a reflection of the growing interest and benefit towards the ecosystem. An analysis reported that active addresses increased by 1.06% in the last 24 hours and total transaction volume increased by 1.05% to approximately 11.87K transactions. This trend indicates that with the improvement in market confidence, more users are engaging with SHIB, thus strengthening the market dynamics.
SHIB’s stock market reserves increased by 0.09% to 135.89 trillion. This small increase suggests that selling pressure is under control and SHIB may continue to consolidate its recent gains. The balance between buying and selling activity could help sustain the positive momentum seen after the breakout.
Recent data shows SHIB’s long/short ratio as 46.08% long and 53.92% short. This distribution reflects cautious optimism among investors and suggests mixed sentiment. Despite a slight sell-off, SHIB has been notable for its resilience. Increasing buying pressure could signal a potential reversal as the critical resistance level is approached.
The recent Shiba Inu boom presents a promising outlook, along with rising burn rates and rising participation data. A breakout above the critical resistance level at $0.00003306 could trigger the start of a strong bullish wave and suggests that SHIB is well positioned for more upside momentum in the near-term.