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Shiba Inu is currently trading at $0.00001787 after gains of 4.47% in the last 24 hours and 5.50% in the last 7 days. With a market cap of $10.5 billion it holds 13th position in the global cryptocurrency rankings. However it has dropped by 55% in the trading activity in the last 24 hours.
A whale investor acquired 2.7 trillion SHIB tokens from the Robinhood exchange. This heavy purchase costing about $48.34m was moved to an anonymous wallet address. Now the receiving wallet has $653.52 million in SHIB tokens which means there is a strong belief in this asset’s future.
SHIB burn rate has also surged by 4800% more in the last 24 hours adding more optimism. Many Shiba Inu tokens were burned lowering the circulating supply and possibly stabilizing the price.
However SHIB has had its share of challenges. The recent hack at WazirX which happens to be India's biggest crypto exchange affected the market thus affecting SHIB together with other altcoins though it hasn’t been all plain sailing for SHIB either. But despite this setback and amid an increased whale activity along with a surge in burn rate it looks like these are providing timely boosts for the popular memecoin.
From a technical point SHIB after reaching a high of 0.00004575 on March 5th, the price experienced a 71% drop to 0.00001821 on July 5th. However it found support at the base of a previously broken out bullish flag pattern.
Currently SHIB appears to be trapped in a bullish pennant formation that has been in place for over two months. This consolidation suggests that a breakout may be imminent. The immediate target sits at 0.00002222 which represents a double resistance level formed by a horizontal resistance and the bullish pennant resistance.If SHIB manages to break above the pennant resistance it could confirm a stronger bullish trend.
As seen in our previous report some analysts are even more optimistic with projections ranging from $0.0001 to $0.0002 based on Elliott Wave patterns. One analyst Michael, suggests that SHIB is completing a corrective wave 'c' and may soon transition into an impulsive wave 3, potentially driving prices higher.
The technical indicators and metrics for SHIB have also been demonstrating a general positivity. The RSI displays 49, which means there is enough space for Shib to trade upwards as well as the possibility of having an upswing on MACD. Of particular interest is the increased burn rate which has direct impact on token scarcity; if demand stays strong, price appreciation could occur.
