Shiba Inu's price shows readiness for significant growth as token burning accelerates, the Fear & Greed Index remains in the green, and a bullish pattern forms.
Sharp Increase in SHIB Token Burn
Shiba Inu, the second-largest meme coin, was trading at $0.000026 on Tuesday, Nov. 19, slightly above last Friday’s low of $0.0000246, marking a 142% rise from its lowest point in August. The sharp rebound in SHIB happened as data from Shiburn indicated that the number of Shiba Inu tokens burned surged by 940% to 3.69 million. This burn increased the total burnt SHIB tokens to over 410 trillion, while the circulating supply stood at 583.7 trillion tokens. Shiba Inu’s token burn involves sending tokens to a wallet without a key, effectively removing them from circulation. These tokens come from ecosystem networks such as Shibarium and ShibaSwap, as well as voluntary contributions by community members.
Impact of Fear & Greed Index
Shiba Inu is also rising as the crypto fear and greed index remains in the extreme greed zone at 83. Historically, altcoins tend to perform well when there is heightened greed in the crypto market. This sentiment has also driven gains in other meme coins, bringing the total market cap of the meme coin sector to $128 billion. This valuation surpasses that of large companies like Lockheed Martin, Palo Alto Networks, ADP, and Airbus.
Bullish Pattern in Shiba Inu
The outlook for Shiba Inu remains bullish, as the coin has formed a highly bullish pattern on the daily chart. It displays a cup and handle formation, characterized by a rounded bottom followed by a pullback or consolidation near the top. The coin is forming the handle section. A break above the upper side of the cup at $0.00002933 could signal further gains, with the next target being the year-to-date high of $0.000045—76% higher than the current level. Shiba Inu remains above the 50-day moving average, while the Market Value to Realized Value indicator has climbed above 3. However, a drop below the key support level at $0.000020 would invalidate the bullish outlook.
Shiba Inu is preparing for significant growth, driven by increased token burning and positive market sentiment. Investors should stay vigilant to avoid missing market trend shifts.
