Shiba Inu burn rate increases by more than 33x while the price stalls between the 100-day EMA support and the 200-day EMA resistance.
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Shiba Inu (SHIB) price is in the red as it gives back the gains accrued this week amid increased profit-booking. The second-largest meme coin has decreased 2% in the last 24 hours to trade at $0.00000816 on Thursday, during American business hours.
BlackRock, one of the world’s leading asset management firms, made headlines after making the first step towards filing for an Ethereum spot ETF, as revealed by Eric Balchunas, a Bloomberg ETF analyst.
— Eric Balchunas (@EricBalchunas) November 9, 2023
This would be the second filing after the company filed for a Bitcoin spot ETF in June, significantly raising the stakes for approval. Since October, optimism has continued to build around the potential greenlighting of BlackRock’s BTC ETF.
Shiba Inu Price Prediction: Where Is SHIB Headed?
After Shiba Inu price climbed above resistance (now support) at $0.000008, it quickly became apparent that the uptrend could extend above the psychological hurdle at $0.00001.
However, the resistance highlighted by the 200-day Exponential Moving Average (EMA) (red) at $0.00000835 hindered the move, resulting in a minor correction to the immediate support at $0.00000777—the 100-day EMA (blue).
Consolidation is expected within this region confined by the 200-day resistance and the 1000-day support. This period would be of great importance to SHIB as it would allow more buyers to consider seeking exposure to SHIB ahead of the anticipated ETF approval rally.
Meanwhile, the Moving Average Convergence Divergence (MACD) indicator could validate a longer pullback, especially if a sell signal comes into the picture.
The call to sell SHIB would manifest with the blue MACD line crossing below the red signal line. The MACD would also be required to generally slope towards the neutral region to increase the chances of a significant correction.
If support at $0.00000777 is lost, then traders would have a reason to worry. In that case, declines could extend $0.0000074, allowing for the collection of more liquidity ahead of the next rebound.
On the upside, a break from the 200-day EMA resistance, slightly below the 50% Fibonacci level might confirm the next breakout in Shiba Inu price above $0.00001.
Shiba Inu Burn Rate Explodes
This week has been tremendous for Shiba Inu in terms of the tokens removed from the available supply. According to the Shibburn website, the burn rate has in the last 24 hours increased by more than 3,300%, bringing the total number of tokens burned to over 410 trillion.
The Shiba Inu ecosystem’s goal of reducing the massive supply is critical for the resumption of the uptrend to support the next bull run. Often SHIB’s supply has been blamed for the dampened market outlook. However, as supply decreases, investors expect Shiba Inu price to rally significantly and possibly hit the $1 milestone.
The presented content may include the personal opinion of the author and is subject to market condition. Do your market research before investing in cryptocurrencies. The author or the publication does not hold any responsibility for your personal financial loss.