Shiba Inu prices fell by 7%, but trading volume surged by 72% and a large number of tokens being burned may indicate an unexpected breakthrough—check the prospects for SHIB now.
Due to the global market's reaction to the tensions between Israel and Iran, Shiba Inu (SHIB) prices have fallen by 7.1% in the last 24 hours.
Trading volume surged nearly 72%, currently accounting for over 5% of the token's circulating supply.
Other tokens in this category, such as Pepe (PEPE) and SPX6900 (SPX), experienced more severe corrections during the same period, at 20.2% and 17.5%, respectively.
Despite recent weak performance, there is one indicator that may favor a bullish forecast for Shiba Inu prices.
According to Shib Burn (a website that tracks the number of Shiba Inu tokens burned in real-time), the token burn rate increased by 112,839% in just 24 hours, during which nearly 112 million SHIB stopped circulating.
When transactions such as swaps occur within this blockchain, SHIB tokens are automatically burned. Such a large amount of burned tokens means that recent trading volume has surged, possibly due to a rebound in sales during the recent pullback.
That said, the amount burned is only a small portion of the nearly 590 trillion SHIB circulating supply. However, in the short term, this may help reduce the available supply, thereby cushioning the decline of SHIB.
Shiba Inu Price Prediction: If SHIB rebounds from this key support level, it could rise to $0.00001500.
From the daily chart, the price trend broke below the trendline support a few days ago, and since then, SHIB has been sharply declining.
The price has attempted to break through its short-term exponential moving average (EMA) once but has failed to succeed.
The trading price of SHIB also continues to remain below its 200-day moving average, which favors a bearish outlook in the medium term. However, as the token approaches the key support level of $0.00001050, the price may rebound from this level and find a path back to retest its previous trendline support, which coincides with the 200-day moving average support at $0.00001546.
Traders should closely watch the price movement after it reaches this support level, as a strong rebound could favor a bullish forecast for Shiba Inu prices in the short term. Therefore, SHIB may currently not reach $1, but if this key support level holds, the token does have some upside potential.
