Is Shiba Inu (SHIB) Ready for Next Major Rally?
Shiba Inu (SHIB), the second-largest meme coin, presents a unique trend that suggests a potential rally ahead. This development coincides with an increased Shiba Inu burning rate over the past month.
What's happening on SHIB market
According to CoinMarketCap data, SHIB has declined by 5.19% in the last 24 hours to trade at $0.00002836. Despite the daily decline, it has risen 7.8% in the past week, pushing its monthly and yearly increases to 61.74% and 239.6%, respectively.
The decline in SHIB's price in the last 24 hours suggests a short-term correction. This means the price of the meme coin may see a spike once momentum picks up. Typically, investors flock toward a cryptocurrency once the price goes down, leading to an increase in value.
Another key metric reinforcing the bullish momentum on SHIB is the trading volume. In the last 24 hours, the daily trading volume rose 31.34% to $6 billion, indicating investors’ commitment to purchasing SHIB.
Surge in Shiba Inu burn rate and whale activity
Meanwhile, the Shiba Inu burn rate has increased in the past few days. As U.Today reported, over 1.4 million SHIB tokens were recently destroyed in just 24 hours, representing a 486.32% spike in the burn rate.
The Shiba Inu team conducts periodic burns to reduce the number of SHIB tokens in circulation. As the number of tokens reduces and demand increases, the price is expected to surge.
Besides the surge in burn rate, large investors, or whales, have also increased their activities.
The meme coin recently experienced a 396.38% increase in large transaction volume of $245.63 million. Additionally, Shiba Inu witnessed a 19.5% increase in daily active addresses over this period, totaling 8,720.
In a parallel development, Shiba Inu lead developer Shytoshi Kusama triggered a mixed reaction from the SHIB community with a sarcastic tweet about SHIB burns.
