The price of Shiba Inu Coin has started 2026 on an optimistic note, revisiting a significant long-term support zone that previously triggered substantial rallies in both 2021 and 2024. Currently trading between 700 and 750, this level has historically served as a robust demand base, effectively curbing further declines and demonstrating consistent buyer interest.
Recent data reveals a notable tightening of SHIB supply, coinciding with an increase in the number of holders. The rate of SHIB burns has surged by 10,728%, resulting in the removal of 173 million SHIB from circulation. In the last 24 hours alone, over 200 billion SHIB exited exchanges, reducing the exchange supply to 81 trillion, which constitutes roughly 14% of the total circulating supply. This reduction in supply is contributing to a more optimistic outlook and reinforcing expectations for a short-term bullish trend.
Despite a challenging landscape throughout 2025, the Shiba Inu community has continued to grow, with over 70,000 new holders joining last year, elevating the total to 1.54 million. Long-term investors have been steadily accumulating SHIB, leading to a decrease in exchange supply by 60 trillion and indicating a strong belief in the memecoin”s potential rebound.
Potential Golden Cross Signals Major Rally
Analysts are closely monitoring the potential development of a golden cross, a bullish signal that occurs when the 50-day exponential moving average (EMA) crosses above the 200-day EMA. Currently, the 50-day EMA remains below the 200-day EMA; however, price action is gradually trending in the right direction. Traditionally, a golden cross manifests after periods of consolidation rather than abrupt price spikes and is often associated with significant upward momentum.
To facilitate this pattern, SHIB must break out of its descending wedge and maintain a position above the 820 level. Technical indicators, such as narrowing candle ranges and emerging bullish formations like the inverse head-and-shoulders, suggest favorable conditions for price absorption and base formation, which are crucial for a golden cross. Momentum indicators, including the 12-hour stochastic RSI, have begun to exhibit bullish tendencies. Together with a strong demand zone, diminished exchange supply, and continuous accumulation by holders, SHIB could witness a short-term rebound.
If SHIB can sustain support and generate momentum, the golden cross may materialize later in 2026, potentially indicating a sustained upward trajectory. Current projections suggest that SHIB could reach $0.0000085 by the end of January 2026, reflecting an approximate 25% upside from its current position. While some volatility is anticipated, the combination of solid support zones, increasing burns, growing holder accumulation, and the impending golden cross pattern implies that Shiba Inu Coin could embark on a bullish path as the new year unfolds.
