The bears appear to be stopping in the Shiba Inu market [SHIB]. The meme coin has recorded an 18% drop in the past few days and a staggering 9.31% drop in the last 24 hours. At the time of writing, SHIB is trading as low as $0.00001787.
This crypto asset has lost its key support level at $0.00002. While the meme coin is suffering a setback, an analyst named Sam_TCR has restored hope to the SHIB market.
The analyst sees $0.00002320 as a key resistance level. If Shiba Inu overcomes this barrier, it could rise to $0.0000255 and reach a high of $0.0001. But if things don’t work out despite these conditions, SHIB could drop as much as $0.00002. This is provided on the condition that the seller leaves the area within $0.000022. This will create a downward momentum, pushing SHIB deeper.
Additionally, the analyst used technical indicators and noted the Relative Strength Index [RSI] are seeing a balance at the 40 median. But the MACD line has moved below the signal line into a bearish crossover. All of this was seen on SHIB’s daily chart.
Could increased burn rate increase SHIB’s value?
The Shiba Inu’s burning rate is increasing significantly. The network recorded a 12,000% increase. A whopping 5.1 million SHIB was sent to dead wallets and was the largest single transaction that took place on June 17. Currently, the burn rate of this meme coin has increased by 24% in the last 24 hours. A total of 12,955,750 SHIB tokens have been removed from circulation.
Shiba Inu has reduced its supply by burning all its tokens. This means some of these assets are being sent to empty addresses. Through this, the network will create scarcity in the hope of driving up its price.
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