Crypto
- SHIB has surged 250% since December, driven by key technical patterns.
- Over 2 billion SHIB tokens burned in a single day, boosting scarcity.
- Bullish momentum builds as SHIB targets the next resistance level.
Shiba Inu (SHIB) has surged 250% since its December start, showing remarkable resilience, outperforming many other cryptocurrencies. Experts attribute this rise to technical chart patterns, community-driven initiatives, and token burns for the popular memecoin.
Shiba Inu’s Explosive Growth
After seven months of sideways price action, SHIB’s dramatic surge has captured global attention. A 1-day technical analysis of SHIB reveals an inverse Head and Shoulders (H&S) pattern, leading to a significant price breakout.
SHIB bounced off the EMA20 level and hit its initial H&S target, paving the way for further growth. With bullish momentum building, market observers predict the next target at the second C&H level.
Beyond technical factors, the Shiba Inu ecosystem’s success also hinges on the power of community initiatives and tokenomics strategies.
A major factor contributing to this rally is the massive token burn initiated by the Shiba Inu community. Blockchain wallet tracker Shibburn revealed that over 2 billion SHIB tokens were burned within 24 hours. This includes a single transaction by an anonymous whale that sent a staggering amount of tokens to a dead-end wallet. These token burns effectively reduce circulating supply, creating scarcity and driving up the token’s value.
Moreover, the Shiba Inu community remains highly engaged, consistently pushing for burns and adoption. As these efforts intensify, SHIB’s price momentum shows no signs of slowing. While the current price surge may be partly due to a broader market uptrend, Shiba Inu’s decreased supply and growing institutional interest suggest a potentially optimistic outlook.
Technical analysts are closely monitoring key resistance levels. Breaking through the current target could open the path to the next significant price level.
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