Shiba Inu Coin is sparking another rally as Bitcoin prices top $70,000. A daily close above the support at $0.00003 may lead to increased absorption in SHIB, triggering another rally towards $0.00004563.
Story Highlights
SHIB seeks a few four-hour candles above $0.00003 to validate the uptrend towards $0.00004563.
The SuperTrend indicator flipped to track the Shiba Inu Coin price, supporting the uptrend.
Approximately 27 million SHIB were burned due to active circulation, bringing the total supply to approximately 589.275 trillion SHIB.
The price of the second-largest meme coin, Shiba Inu Coin (SHIB), is rising amid bullishness in the cryptocurrency market, approaching the $3 trillion mark. Following last week's correction, investors will be rolling the dice again and making the most of their current positions. Considering Shiba Inu Coin’s staggering 30% rise from support at $0.00002366, those who adopted dollar cost averaging (DCA) as the price plummeted have started to see their wallets grow.
SHIB was hovering at $0.0000308 during U.S. business hours on Tuesday. In just 24 hours, the popular dog-themed meme token gained 12%, with trading volume soaring 186% to $2.16 billion.
Shiba Inu has a market capitalization of $18 billion, ranking 11th among other cryptocurrencies including stablecoins.
Shiba Inu Coin Price Analysis: Leveraging the SuperTrend Indicator to Guide SHIB’s Recovery
After a horrific sell-off over the past few weeks, the Shiba Inu has found support at $0.00002366, reinforced by the 200-day exponential moving average (EMA) (purple line on the chart).
This area has played a vital role in the newfound stability, relieving investors of significant regulatory pressure while encouraging bargain hunting opportunities.
As Bitcoin climbed above $70,000 on Monday, SHIB rebounded, clearing the way for further gains. The SuperTrend indicator, which has been bearish since Shiba Inu Coin price peaked at $0.00004563 on March 5, recently flipped to track SHIB price, exacerbating the trend reversal.
Traders will be looking for multiple four-hour candle closes above $0.00003 to determine if the uptrend will sustain towards the March high at $0.00004563.
If Shiba Inucoin price successfully retests the $0.00003 area and bounces back towards the $0.000035 resistance, FOMO could kick in and restart a sharp rise targeting the recent highs followed by the next major milestone at $0.0001. Near qun + Wei: 835407865
Shiba Inu Token Burn Rate Expected to Recover
The token burn rate in the Shiba Inucoin ecosystem is considered one of the most elaborate similar schemes in the industry. Since launch, approximately 410 trillion SHIB tokens have been removed from active circulation.
To date, the total supply of Shiba Inu is 589 trillion. However, with approximately 6.6 trillion SHIB locked up in various staking protocols, only 582 trillion coins are in circulation.
In the past 24 hours, Shiba Inu’s burn rate increased by 27%, with approximately 27 million SHIB being sent to unusable wallets. As burn rates increase, demand and supply dynamics are expected to change in favor of supporting a larger rebound.
Reduced supply means selling pressure drops significantly, and with demand remaining the same or rising, a rally is bound to break out and push the Shiba Inu Coin price to unprecedented levels.
