The cryptocurrency Shiba Inu (SHIB) is attracting investor attention due to a significant increase in its token burn rate, which may impact its market.
Current Situation Analysis of SHIB
Shiba Inu continues to be one of the most notable meme cryptocurrencies in the market. Recently, market analyst Tektonic expressed that SHIB is holding a bullish technical structure, signaling the potential for an 18% rally. Currently, SHIB is trading at the $0.00001179 level.
Price Surge Forecast
Crypto enthusiast Degen Profit also predicted that the SHIB price could see a 24% rally if it breaks the $0.0000119 resistance level. According to him, a successful breakout might push SHIB towards $0.0000148 or even $0.0000177 in a stronger rally.
Token Burning and Its Price Impact
With a recent sharp increase in the burn rate to 12,833%, the total supply of SHIB has significantly diminished. According to basic supply-demand economics, lower supply with steady or rising demand typically drives prices higher. Since the start of the burn, 410 trillion tokens have been permanently removed from circulation, reducing the total supply by 41%.
Considering all the above factors, Shiba Inu demonstrates promising conditions for growth in the cryptocurrency market, attracting attention from both new and existing investors.
