Quick Summary$SHIB
Shiba Inu faces challenges in governance updates and sell-offs amid negative technical indicators affecting the price. Latest updates:
Voting strategies in Doggy DAO (August 18, 2025) – New governance models aim to reduce the control of large investors and promote decentralization.
SHIB burn rate increases by 1,047% (August 18, 2025) – 158 million tokens were burned, but the price fell by 6% amid a general market decline.
Emergence of negative technical signals (August 18, 2025) – The head and shoulders pattern and negative funding rates indicate downside risks.
Detailed analysis
1. Voting strategies in Doggy DAO (August 18, 2025)
Overview:
Doggy DAO presented three voting models: voting based on staking, voting via ERC-20 wallets, and quadratic voting. Quadratic voting significantly increases the cost of additional votes, reducing the impact of large investors (whales). A "one person, one vote" system based on identity is also being developed.
What does this mean?
This is a positive development for SHIB as it promotes fairness in governance and aligns with Web3 trends. Improved decentralization may attract long-term investors, although its impact on the price may be limited in the short term due to general market volatility.
2. SHIB burn rate increased by 1,047% (August 18, 2025)
Overview:
SHIB burn rate surged after 158 million tokens were removed from circulation. The largest single burn was 85 million SHIB, but prices fell by 6% in 24 hours, reflecting profit-taking and a general decline in the cryptocurrency market.
What does this mean?
Although the burn reduces supply, the recent price weakness indicates weak demand. This discrepancy reflects continued selling pressure, with SHIB down 12% for the month. To achieve a sustained rise, the burn needs broader support from the cryptocurrency ecosystem.
3. Emergence of negative technical signals (August 18, 2025)
Overview:
SHIB price formed a head and shoulders pattern, with a price target of $0.00001027 if the support level is broken. Futures funding rates have also turned negative (-0.0074%), indicating a bearish trend, while whale holdings have stabilized.
What does this mean?
The technical situation tends to be neutral or negative in the short term. There is a risk of continued decline, but oversold conditions may lead to rebounds. The $0.000012 support and Bitcoin market direction should be monitored for signals.
Conclusion
Governance updates in SHIB contrast with negative market dynamics, creating a conflict between ecosystem progress and trader caution. While burn operations and decentralization efforts build long-term value, technical indicators and economic pressures dominate short-term price movements. Will community-driven tokenomic mechanisms be able to counter speculative selling pressure in Q3?
