- SHIB’s burn rate surged 7,240%, removing over 1 billion tokens in 24 hours.
- Shibarium Layer-2 burned over 55 billion SHIB, but more adoption is needed.
- SHIB’s key resistance at $0.000020 could trigger a rally if broken.
Shiba Inu (SHIB) saw a sharp increase in its burn rate, fueling discussions about its price outlook. A 7,240% surge in token burns removed over 1 billion SHIB from circulation in a single day. Despite this, analysts question whether token burns alone can push SHIB to $0.01.
SHIB Burn Rate Surges—What It Means for Prices
SHIB’s burn mechanism reduces circulating supply, theoretically increasing scarcity and potentially boosting prices. In the past 24 hours, over 4 million tokens were burned, reflecting a 6,233% increase. The Shiba Inu community continues to push for value appreciation through these burns.
However, reaching $0.01 remains a challenge. SHIB’s current supply sits at 589 trillion tokens. Even with aggressive burns, achieving a $0.01 price would require a market capitalization of nearly $5.89 trillion—more than the entire cryptocurrency market combined.
Related: Shiba Inu Hints at Price Reversal After a 284% Spike in SHIB Burns
Investor sentiment remains split. SHIB’s fear and greed index dropped to neutral at 57%, even though 88% of holders still express bullishness. Meanwhile, the Relative Strength Index (RSI) nears overbought territory, suggesting a possible pullback.
Can Token Burns Drive SHIB to $0.01?
While the burn rate surge grabbed attention, analysts argue that other factors must align for a major price shift. The Shibarium Layer-2 blockchain adds utility by integrating SHIB into real-world applications, with a portion of transaction fees allocated for burns. Since launch, Shibarium has burned 55 billion SHIB, but experts insist more aggressive burns and wider adoption are needed.
From a technical standpoint, SHIB tests a key resistance level at $0.000020. A breakout could send the price toward $0.000025, with a rally to $0.000030 possible if momentum holds. However, a drop below $0.000015 could bring further selling pressure.
Related: Shiba Inu 2025 Price Prediction—Can SHIB Hit $0.0001?
Market Outlook: What’s Next for SHIB?
Reaching $0.01 remains a long shot. Even with consistent burns, SHIB needs broad adoption and institutional demand to move toward that price level. The token’s price depends on market trends, whale activity, and overall crypto sentiment.
For now, SHIB’s price action leans bullish, but investors should monitor key resistance levels and possible corrections before making major trading decisions.
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