The Ethereum-based memecoin Shiba Inu (SHIB) has recently experienced a staggering 2,682% surge in its daily burn rate, attracting significant attention. Despite this remarkable increase, the SHIB price has seen only modest growth, continuing to hover around $0.000018 over the past 24 hours.
What Drives SHIB’s Modest Price Movement?
According to updates from the Shibburn team on their X account, 18,617,208 SHIB were burned within the last 24 hours, marking a 2,682.44% increase in the burn rate. However, this did little to boost SHIB’s price, which only rose by 0.49% to $0.00001813, maintaining a weekly decline of 12%. Factors such as the overall weak sentiment in the cryptocurrency market, driven by Bitcoin’s recent performance, contribute to this modest price movement.
The broader cryptocurrency market’s sentiment has been largely bearish this week, with Bitcoin hitting its lowest level in a month. The performance of major cryptocurrencies like Bitcoin and Ethereum often impacts the broader crypto market. When these leading assets experience volatility or downtrends, it becomes challenging for altcoins like SHIB to capture investor interest.
Can SHIB Benefit from Market Optimism?
Should the cryptocurrency market experience a bullish shift, SHIB could potentially benefit from increased investor confidence and trading activity. Since hitting a low of $0.00001696 on June 18, Shiba Inu has traded within a narrow range of $0.0000173 to $0.0000188.
Key Insights for Investors
– A notable increase in SHIB’s burn rate does not always translate to immediate price hikes.
– Market sentiment and the performance of major cryptocurrencies significantly influence SHIB’s price movements.
– Investor confidence could rise if the broader cryptocurrency market turns bullish.
What to Expect for SHIB?
Blockchain data from IntoTheBlock indicates that 417.19 trillion SHIB are held across 25,310 addresses within the current trading range of $0.000017 to $0.000019, with an average price of $0.000018. This underscores the critical importance of the $0.000018 level, where SHIB is currently trading. Market watchers are keeping a close eye on SHIB for potential signs of upward movement or further consolidation. A break above daily moving averages could signal a bullish trend in the short term.