In a period of market stabilization, the Shiba Inu (SHIB) cryptocurrency has experienced a notable 3% price increase in the past 24 hours. This uptick is largely due to an impressive 450% surge in the burning rate, which has led to the elimination of approximately 2.9 million SHIB tokens from circulation.
What Is the Mechanism Behind the Burning Rate?
The SHIB burning rate is an intentional effort to decrease the total supply of tokens available. By directing certain amounts of SHIB tokens to a designated burning address, the development team permanently takes them out of circulation.
How Has the Market Reacted?
As a result of the increase in the burning rate, a total of 2,903,600 coins have been permanently removed, positively impacting the current trading price of SHIB, which now stands at $0.00001778, along with a market capitalization of $10.48 billion. Since the launch, a staggering 410,730,861,486,725 SHIB tokens have been burned, drastically reducing the circulating supply.
The price fluctuations for SHIB last week included a setback at the $0.000017 mark. However, the weekly chart reflects a 5% rise, and the monthly chart indicates an impressive 32% jump, primarily driven by a resurgence in interest in meme coins.
What Do Analysts Predict for SHIB?
Market analyst Cantonese Cat has identified Shiba Inu as a promising altcoin for investment, highlighting a unique buying signal from the “L3 Banker Fund Flow Trend Oscillator.” This indicator has historically preceded significant price increases for SHIB.
According to Fibonacci retracement analysis, SHIB might be on the verge of a substantial upward trend, aiming for a target price of around $0.00047. Nonetheless, analysts caution that overcoming key resistance levels will be crucial for achieving this target.
- The recent increase in the burning rate is a pivotal factor for SHIB’s price growth.
- Analysts project a potential price target of $0.00047 for SHIB.
- The growing interest in a possible Shiba Inu ETF could further influence market dynamics.
The combination of a heightened burning rate, positive market signals from analysts, and the potential for an ETF have positioned SHIB for potentially significant movements in 2024, making it an intriguing prospect for investors.
Disclaimer: The information contained in this article does not constitute investment advice. Investors should be aware that cryptocurrencies carry high volatility and therefore risk, and should conduct their own research.
Source: https://en.bitcoinhaber.net/shiba-inu-price-surges-after-burn-rate-spike