Shiba Inu (SHIB), the beloved meme coin that has taken the crypto world by storm, seems to be hitting a roadblock in its recent price rally. As trading volume, futures open interest, and burn rate all show signs of decline, SHIB’s value has dropped to $0.000015 from a recent high of $0.00001750. This dip in price has left many investors wondering about the future of this digital currency.
Trading volume for Shiba Inu has been on a downward trend in recent weeks, indicating a decrease in demand. The daily volume on Sunday was recorded at $173 million, a far cry from the impressive numbers seen with other meme coins like Dogecoin and Pepe. Additionally, the futures market has seen a decline in open interest, dropping from $272 million to $216 million since May 11. This decrease in open interest suggests a lower level of activity and liquidity in the market.
The burn rate for Shiba Inu has also slowed down, with data showing a 78% drop in the daily burn rate on Sunday. Less than 70 million SHIB coins were burned in the past week, a significant decrease compared to previous burn rates. While Shiba Inu burns are typically seen as positive for market sentiment due to the reduction in circulating supply, the recent slowdown has raised concerns among investors. Furthermore, the total value locked in the Shibarium network has decreased from $3.98 million to $3.41 million in the last seven days, with popular dApps like ShibaSwap and K9 Finance losing assets.
The future of Shiba Inu remains uncertain as the coin faces challenges in trading volume, futures market activity, and burn rate. However, some analysts believe that the recent price consolidation could be a precursor to a bullish breakout. The weekly chart shows a double-bottom pattern at $0.00001076, a potential signal for a strong upward movement. Additionally, the coin is forming a harmonic pattern known as XABCD, with the possibility of reaching a high of $0.00004618. While the current state of Shiba Inu may be concerning for some investors, there is still hope for a resurgence in the near future.
Not really sure why this matters, but the decline in Shiba Inu’s price and market activity has left many investors scratching their heads. Maybe it’s just me, but it seems like the future of this meme coin is hanging in the balance. Will Shiba Inu be able to overcome these challenges and make a comeback, or is this the beginning of the end for this beloved digital currency? Only time will tell.
