July 24, 2024
Blockchain News

Shiba Inu (SHIB) Sees Mild Price Hike Amidst Decreasing Exchange Supply

Shiba Inu (SHIB), the meme-based cryptocurrency, has experienced a 2.74% price increase in the past seven days, providing a brief respite from its turbulent journey. Notably, signs indicate that this relief period may continue for some time. According to Santiment, SHIB’s supply on exchanges has decreased since June 10, reaching 87.6 trillion at the time of writing. This decline in exchange supply and an increasing price suggest renewed optimism surrounding the token’s value.

Technical Outlook and Bullish Potential:

While it may be too early to conclude that long-term respite is on the horizon, the Moving Average Convergence Divergence (MACD) remains in the negative region. When the MACD is below zero, it indicates a strengthening downward trend and ongoing selling pressure. However, bulls have been exerting buying power, pushing up SHIB’s price since $0.00000649 after a prolonged slide. If this buying momentum is sustained, the price of SHIB may continue to rise, potentially shifting the overall market sentiment away from bearishness.

Changing Burn Mechanism and Increased Burn Rate:

Interestingly, the burn mechanism of SHIB has undergone a shift. While the burn rate has decreased in recent days, it has experienced a significant increase of 281% in the past 24 hours. The burn rate involves removing tokens from circulation, potentially reducing supply and increasing long-term value. If the burn rate sustains this upward trajectory, SHIB holders may have increased confidence in the token’s price action when the bull market returns.

Growing Social Dominance and Active Addresses:

SHIB has also witnessed increased social dominance, a metric measuring the share of discussions about an asset across various media platforms. With a 0.433% increase, SHIB has garnered significant attention and generated hype within the community. This optimism is further reflected in the number of active addresses, which indicates the participation of unique addresses in token transactions. SHIB’s rise to 55,700 active addresses suggests a renewed interest from investors and a regained spotlight for the meme-inspired token.

Shiba Inu (SHIB) has experienced a mild price hike amid a decreasing supply on exchanges, indicating renewed optimism surrounding the token’s value. While the technical outlook remains cautious, the sustained buying power from bulls may drive SHIB’s price upward and shift the market sentiment away from bearishness. The recent increase in the burn rate and growing social dominance demonstrate the token’s evolving dynamics and regained investor attention. As SHIB continues its journey, market participants will closely monitor its price movements and burn mechanism, looking for signs of sustainable growth and long-term viability in the ever-changing cryptocurrency landscape.