- Shiba Inu rallied 8% before a slight retracement, with the SHIB community still hoping that the crypto can erase one zero after its decimal, a feat last achieved in December.
- On-chain data gives mixed readings—while the number of active and new addresses saw an uptick over the past three days, the SHIB burn rate has turned negative at -38%.
Shiba Inu’s march toward erasing a zero continued this week with an 8% price rally to hit its highest price since mid-January before a slight retracement. The meme coin’s on-chain factors look strong, with the number of active Shibarium users surging despite a slowdown in the SHIB burn rate.
At press time, SHIB trades at $0.000009774, gaining 2.88% in the past day as the trading volume spiked 44% to hit $200 million.
In the past 24 hours, the meme coin set an intra-day high at $0.000009915, rallying 8% from $0.000009234 on Monday. This is the highest it has traded since Jan. 11 and was within touching distance of erasing one zero after its decimal point, which remains one of the Shiba Inu community’s biggest short-term goals.
The last time SHIB erased a zero was in December, hitting a seven-month high at $0.00001165 on Dec. 17. The meme coin held onto its new price level for two weeks before adding the extra zero on Jan. 2 this year as the entire crypto market started shedding some of its gains from the previous year’s bull run.
What’s Next for Shiba Inu (SHIB)?
Shiba Inu is edging ever closer to breaching the $0.00001 resistance, which has proven formidable for months. The meme coin’s price rise is supported by solid on-chain and technical fundamentals, giving the SHIB community confidence that this time, it can sustain its price above this level.
Shibarium continues to gain traction in the crypto community, with the number of transactions on the Ethereum Layer 2 chain hitting new highs amid a surge this week. The volume of the transactions surged past 4.35 trillion tokens, a 340% spike in 24 hours.
The number of active accounts on Shibarium also recorded significant growth at 49% as new entrants swarmed into the chain, with the growth of new accounts hitting over 780%. BONE, the native token of Shibarium, has been the big gainer as on-chain activity surges, with its daily volume skyrocketing by 220% in just 24 hours.
It’s not all rosy for Shiba Inu, however. Its burn rate has taken a nosedive this week, and after a rise of 1,800% on Tuesday, it dipped to -74% yesterday. At press time, the burn rate is at -38.34%, according to data by Shibburn.
Burns in Shiba Inu are critical as they eliminate millions of SHIB tokens from circulation, making each remaining token more valuable. So far, the community has burned 410 trillion tokens out of a total supply of 999.9 trillion. With the circulating supply now at 581 trillion, the community has a long way to go before the burns can make a sizable dent and substantially impact the price of SHIB.
