Shiba Inu (SHIB) has been the talk of the crypto town lately, but not for reasons you might expect. While many were busy writing off SHIB as another meme coin destined for oblivion, the token pulled a fast one. In the last 24 hours, Shiba Inu’s burn rate skyrocketed by a staggering 1,000%. The price is showing signs of a mild recovery too. Shiba Inu had recently slipped below a crucial trendline support level, which had many traders biting their nails. A fall below this line usually signals a bearish trend, and for a moment, it looked like SHIB was going down that road.
The price of Shiba Inu has seen a mild recovery alongside this burn rate hike. As of the latest data, Shiba Inu is priced at $0.0000073, marking a 0.44% increase. This might seem like a modest rise, but in the volatile world of cryptocurrency, it is a step in a positive direction. Especially, since Shiba Inu recently fell below a local trendline support level, which often signals a bearish trend.
Considering the lack of use cases for Shiba Inu, it might be hard to say; however, the increased activity of whales might have something to do with it. They are committed to seeing their beloved token rise from the ashes, quite literally. And the market seems to be responding. The price has shown a mild but noticeable recovery, which could be the start of something big. But investors should not get ahead of themselves.
While the burn rate and the subsequent price recovery are promising signs, they are not a guarantee of long-term success. Shiba Inu still has a long way to go and many challenges to overcome. However, this recent development has undoubtedly breathed new life into the token and given its holders a glimmer of hope.
Shiba Inu’s Precarious Position in the Crypto Rankings
SHIB, a formidable name in the world of meme coins, is now on precarious ground. Earlier today, it dropped below Chainlink (LINK) by market capitalization, according to data provided by CoinMarketCap.
Despite reclaiming its position above LINK today, the gap between the two remains narrow, and the second-biggest meme coin is now on the cusp of dropping out of the top 20. SHIB’s fragile position Shiba Inu and Chainlink exchanged positions briefly before SHIB edged back above, but the slender margin between them suggests a strong possibility for further displacement.
For context, Dogecoin, the largest meme coin, remains comparatively robust at ninth place, flaunting a market cap of $8.5 billion. Shiba Inu’s market cap, currently at $4.268 billion, is not far from Chainlink’s $4.252 billion, creating a competitive bottleneck. DAI, holding the 20th position, has a market cap of $3.8 billion, hinting that SHIB’s top 20 status is not guaranteed.
Shiba Inu enjoyed a remarkable surge in 2021, even temporarily climbing into the top 10 and exceeding Dogecoin by market cap. However, since its peak, its luster seems to have diminished. Shibarium-related hype fades Even with the anticipation and enthusiasm accompanying the launch of Shibarum’s mainnet, Shiba Inu is struggling to maintain traction.
The number of Shibarium transactions plummeted to 15K on Sept. 27, a sharp decline from its apex of over 200K transactions on Sept. 11. It signals that the initial excitement surrounding new developments in SHIB’s ecosystem may not have translated into sustained interest or value retention.
As the crypto world watches, Shiba Inu’s fate hangs in the balance. Will it rise from the ashes or fade into obscurity? Only time will tell.