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- Investors eye SHIB’s 3.32% rise after a 389M token burn, anticipating a potential breakout.
- Shrinking supply and rising burn rates fuel trader optimism, with support at $0.000012 per Ali Martinez.
- Ali Martinez warns SHIB may drop to $0.0000094 if bearish trends persist before stabilizing for a rebound.
Shiba Inu increased by 3.32% over the weekend, which attracted investors’ attention again. The price rise corresponded to a large token burn process in February during which 389 million SHIB tokens were eliminated. Currently, supply continues to decline and traders believe that scarcity of the products will push the prices up in the following weeks.
SHIB Burn Rate Surges
According to Shibburn, the SHIB tokens’ burning amounted to 389.18 million in February. This initiative is in line with the long-term plan of supply reduction and perhaps enhancing the value of the currency.
In total, the burn program has been effective in removing an astounding 410.72 trillion tokens since its inception. Since its launch, 400 trillion SHIB tokens have been regularly burned with the rate of burning raising in just the last 24 hours to 14 million tokens.
SHIB is trading at $0.00001376, but it was priced at $0.00001301 – $0.00001412 within a single day. This was due to the overall rise in the broader cryptocurrency market in the commonly observed direction. However, SHIB’s price changes are no longer entirely dependent on the investor but rather the ‘burn rate’.
Source: TradingView
Shiba Inu Key Support Levels
The trend of increase in burn rate has boosted the morale of traders into focusing on support level. According to Ali Martinez, $0.000012 is a significant support level regarding SHIB. If the bearish trend continues, the price is expected to drop to $0.0000094 after which the prices may stabilize.
Other than the response to burns, the broader crypto market recovery has also been influential towards the SHIB rise. Therefore, investors have driven renewed attention to Bitcoin and Ethereum and the same has spread to altcoins such as SHIB. With the return of capital to the market, new meme coins are entering the market and experiencing trading volumes and demand.
Despite its high volatility, scarcity is on the rise, thus pushing the coin to channel a consistent price increase in the future. Some traders are focusing intensely on burn rates and other features that can signal their upward movement. SHIB could rise greatly in the near future if demand increases at the present rate. The following weeks are critical in deciding whether the token will be able to fully leverage on scarcity and the bullish run.
