Shiba Inu (SHIB) is demonstrating notable resilience in the current cryptocurrency landscape, even as the broader market experiences sluggish price recovery. As of now, SHIB is trading at $0.000007465, showing modest gains despite a significant decline in its burn rate.
Currently, the price action is attempting to breach the resistance zone around $0.0000076. Recently, it reached a peak of $0.000007549 before a minor pullback occurred. Over the past 24 hours, SHIB has gained 1.7%, and in the last week, it has risen by 3.4%. However, a closer look at the 14-day performance reveals a decline of 8.5%, indicating that while there are signs of short-term positivity, challenges persist as the festive season approaches.
For the SHIB Army, the critical question remains: Can they sustain enthusiasm to push through significant resistance levels?
Key Support and Resistance Levels
From a technical standpoint, SHIB is currently testing a vital support level near $0.00000664, coinciding with the lower Bollinger Band. This level has proven resilient recently. If Shiba Inu falls below this threshold, the potential for further declines could materialize. Conversely, on the upside, the resistance is positioned at $0.00000859, near the upper Bollinger Band, which may limit upward momentum. A breakthrough at this resistance level could propel SHIB towards higher targets, possibly aiming for $0.000009.
Additionally, the MACD (Moving Average Convergence Divergence) indicator provides insights into SHIB”s momentum. The histogram has transitioned from negative to positive territory, signaling a potential bullish crossover. The MACD line (blue) has also moved above the signal line (orange), indicating increasing bullish momentum. With the MACD suggesting positive momentum and SHIB approaching key resistance zones, the meme coin might be on the verge of a significant movement. However, maintaining support at $0.00000664 is crucial for preserving any upward trajectory.
Declining Burn Rate Impacts SHIB
Despite the upward momentum towards critical resistance levels, the burn activity associated with Shiba Inu has notably decreased. Recent data indicates a staggering drop of 90.31% in the burn rate over the last 24 hours, with a total of 1,066,266 SHIB burned during this timeframe. While the burn rate has slowed, ongoing transactions continue to diminish the supply, contributing to scarcity.
For instance, in the past four hours alone, 125,759 SHIB were burned, and earlier, 940,506 SHIB were incinerated 23 hours ago. Other significant burn activities took place two days prior, with a cumulative total of 2 million SHIB burned across two transactions. Although the pace of burn activities has slowed in recent days, they remain essential for reducing the total supply and potentially enhancing scarcity.
In conclusion, Shiba Inu is at a pivotal point, balancing resistance and support levels while navigating a declining burn rate. The coming days will be critical as the SHIB Army rallies to maintain momentum.
