The price of Shiba Inu, the second-largest meme coin, has witnessed a two-day decline. Despite this, the burn rate of Shiba Inu has skyrocketed by over 3,400%. The coin’s price has retreated to $0.00002765, representing a 16.2% dip from its peak this month.
This downward movement is chiefly attributed to the ongoing pullback in Bitcoin (BTC) and other cryptocurrencies. Bitcoin’s price slipped below $95,000 as its anticipated rally to $100,000 remains elusive.
Nevertheless, crypto analysts hold an optimistic outlook. With the altcoin season index surging to 80, they believe that Shiba Inu’s price has significant upside potential. Historically, meme coins like Shiba Inu have tended to perform well during altcoin upswings.
Technical indicators also suggest a potential price jump in the near future. A golden cross pattern has formed as the 50-day and 200-day Exponential Moving Averages (EMA) have crossed over each other, which is a widely recognized bullish signal in technical analysis. Additionally, Shiba Inu has exhibited a cup and handle chart pattern, a common indication of a bullish continuation, with the recent consolidation being part of the handle phase.
The MACD indicator has moved above the zero line, and the MVRV indicator has climbed to 3.2. Based on these factors, it is anticipated that the coin will likely rebound and retest its year-to-date high of $0.000045, which would mark a roughly 63% increase from the current level. However, a break below the support level at $0.0000022 would undermine the bullish prognosis.
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Shiba Inu Soars 17% on Burn Rate Spike and Positive Trends
