After more than a year of consolidation, Shiba Inu is showing signs of a significant shift. The popular token is holding steady above a critical technical threshold, supported by a dramatic increase in its token burn rate, setting the stage for what analysts believe could be a decisive upward move.
Shiba Inu (SHIB) has successfully established a new floor above the crucial $0,00001311 level, a move that signals a potential end to a prolonged 448-day period of price compression. While the market sees minor daily fluctuations, the underlying metrics paint a picture of growing strength. The convergence of a tightening chart pattern and a massive reduction in circulating supply is capturing the attention of investors, suggesting that SHIB’s period of quiet accumulation may be coming to an end.
The Technical Case for a Breakout
From a technical standpoint, the current price action is highly significant. After breaking through long-term descending resistance, SHIB has retested this former ceiling and confirmed it as new support. This “breakout-retest-confirmation” is a classic bullish sequence in market analysis.
Crypto analyst Javon Marks highlights a “hidden bullish divergence” that mirrors a historical pattern preceding a 900% surge for the token. This technical setup, combined with sustained trading volume, leads Marks to project ambitious upside targets of $0,000081 and potentially as high as $0,00017852. While ambitious, these targets are based on the structural integrity the token has demonstrated.
A Supply Squeeze in the Making
Adding fuel to the bullish outlook is the accelerating rate of token burns—the permanent removal of tokens from circulation. According to data from Shibburn, the community has incinerated over 1,05 billion SHIB tokens in the past week alone, marking a staggering 2.109,73% increase in the weekly burn rate.
This aggressive reduction in supply is a core economic driver. By making the asset scarcer, the burn mechanism aims to increase the value of the remaining tokens, assuming demand remains stable or increases. This fundamental pressure is now aligning with the positive technical signals, creating a potent combination for a potential price expansion.
| Key Metric | Current Value |
| Current Price | ~$0,00001311 |
| Market Capitalization | $7.720.000.000 |
| Weekly Token Burn | >1,05 billion SHIB |
| Primary Price Target | $0,000081 |
While the market remains unpredictable, the confluence of factors for Shiba Inu is undeniable. The token is positioned at a technical tipping point, bolstered by robust community-driven supply reduction. The coming weeks will be crucial in determining whether this structured setup can translate into the major rally that both the chart and the burn metrics suggest is possible.
Disclaimer: This article is for informational purposes only and should not be taken as financial advice. Always conduct thorough research before making investment decisions.
