Shiba Inu Price Rises 11.7% in a Week Amid Decreased Token Burns

The broader crypto market is currently bullish, with Bitcoin recently surpassing $100,000 and Ethereum holding above $3,600. Popular meme coin Shiba Inu (SHIB) has benefited from this trend, recording a notable price surge despite a decline in its token burn rate.

SHIB’s price recently exceeded $0.00003009, marking an increase of over 11.7% in the past week, a significant 64.8% rise in the last month, and over 246% growth over the past year.

Token Burns and Their Role in SHIB’s Strategy

Despite an 84% drop in SHIB's burn rate—only 62 million tokens burned in the past 24 hours—its price surge continues. The burn rate mechanism aims to enhance token value by reducing supply, typically correlating higher burn rates with increased token value. However, SHIB's recent performance indicates that strong investor demand and community optimism can mitigate concerns related to reduced burn activity.

What’s Next for Shiba Inu?

Two main factors are contributing to Shiba Inu’s recent price performance: market sentiment and community support. Its 246% annual increase demonstrates its sustained relevance in a volatile crypto landscape. Analysts predict that if SHIB maintains its momentum, it could reach new heights before the end of 2024.

Currently, Shiba Inu is approaching a critical resistance level at $0.000037. A breakthrough could potentially lead to a rally towards $0.00005 in the coming months. This positive outlook aligns with broader market trends, as major cryptocurrencies like Bitcoin and Ethereum also exhibit bullish patterns, indicating potential growth in the crypto space overall.