Shiba Inu’s price remained steady over the weekend, even as cryptocurrency analysts expressed optimism about its future performance. The meme coin, ranked as the second-largest in the crypto market, was trading at $0.00002812, marking a 163% increase from its August low.
Some analysts believe Shiba Inu is on the verge of a strong bullish breakout. For instance, SHIB Mortal, a cryptocurrency enthusiast, predicted on X that the token could surge to $1 during this bull run. Similarly, Daink, a trader with over 88,000 followers, highlighted Shiba Inu’s strong technical indicators on the monthly chart, supporting the possibility of a breakout.
One of the key bullish factors driving Shiba Inu’s price is its ongoing token burn mechanism. Currently, about 584 trillion tokens remain in circulation.
Data from ShibBurn shows that the 24-hour burn rate recently soared by 425% to 71,122,860 tokens, bringing the total number of burnt Shiba Inu coins to over 410 trillion.
Token burns involve permanently removing coins from circulation by transferring them to inaccessible addresses. For Shiba Inu, some of these burns are linked to activities within its ecosystem, such as the Shibarium layer-2 network and ShibaSwap.
Shibarium, a relatively new layer-2 solution, has processed over 645 million transactions, supports 2.01 million wallet addresses, and operates with an average block time of 20.9 seconds. A portion of the BONE fees generated on Shibarium is converted to SHIB and burned.
Another factor contributing to optimism is the declining number of Shiba Inu tokens held on exchanges. Over the past week, the amount dropped by 1.73%, leaving 258.19 trillion tokens on trading platforms, a sign that investors may be shifting toward long-term holding.
On the technical side, the daily chart shows that SHIB has been in a gradual uptrend since hitting a low of $0.00001095 in August. On November 4, the token formed a bullish golden cross pattern as the 50-day moving average crossed above the 200-day moving average.
Additionally, SHIB has developed a cup-and-handle formation, a common continuation pattern. The token is currently consolidating within the handle section, just above the resistance level of the cup and near the weak stop-and-reverse point on the Murrey Math Lines.
Given these patterns, a bullish breakout appears likely. Based on the depth of the cup—approximately 67%—analysts estimate the price could climb to $0.00005470. However, while some enthusiasts predict Shiba Inu could eventually hit $1, this scenario is highly improbable, requiring an extraordinary rise of 3.02 million percent.
Also, check out our latest story about How Shiba Inu (SHIB) could go up to 15,000 % high high!
