Shiba Inu Burn Rate Soars 6500%— Is SHIB’s 100% Rally Next?

Key Insights: Shiba Inu burn rate surged 6,519% in 24 hours. SHIB price hit $0.00001577 before pulling back below resistance. Analyst targets a 105% upside if support holds. Shiba Inu’s (SHIB) explosive 6,519% spike in daily burn rate has drawn renewed interest as bulls attempt to push the memecoin above a long-term descending resistance. SHIB traded at $0.00001523 at press time, down 3.36% from the daily high of $0.00001577, according to Binance data. The price action marked a failed breakout attempt above the descending trendline that has capped rallies since Nov. 2023. The surge in SHIB’s on-chain burn activity coincided with a sharp 20% weekly gain, suggesting speculative flows may have returned. Shibburn reported over 28.2 million tokens burned in the past 24 hours, reversing a previous 7-day drop of more than 80%. Shiba Inu Coin Price Faces Rejection at Downtrend Line SHIB’s attempt to break out of its descending triangle structure stalled at the trendline. The memecoin has struggled to hold above $0.00001550, a level that marked resistance throughout the past week. Technical charts show SHIB remains inside a long-term bearish pattern stretching back to Dec. 2023. The pattern’s upper trendline rejected the latest upside move despite momentum indicators turning bullish. The daily Relative Strength Index (RSI) hovered around 59, still below overbought territory. Failure to confirm a breakout increases the risk of a return to support near $0.00001000. That level marks the triangle’s base and has held through multiple retests in 2024 and early 2025. Analyst Predicts 105% Upside—But Only if Support Holds Crypto analyst Javon Marks believes SHIB could rally as much as 105% from current levels—if it confirms support above $0.00001500. In a post on X, Marks cited a bullish divergence and noted that SHIB had recovered 30% recently. “SHIB’s been showing some notable strength... but this could be only a beginning,” Marks wrote. He pointed to a potential breakout target of $0.000081, roughly 4x from current levels. Still, that forecast assumes bulls maintain control above the key $0.00001500 threshold. Failure to hold this level could invalidate the breakout structure and trigger another leg lower. 6,500% Shiba Inu Coin Burn Rate Jump Sparks Speculation SHIB’s sudden burn rate jump to 28.2 million tokens in 24 hours—up from near zero—has rekindled discussion around tokenomics. While deflationary mechanisms rarely impact price in isolation, rapid spikes often coincide with social interest and short-term rallies. Total market cap declined nearly 3.7% in 24 hours to $9.2 billion, per Shibburn data. That decline came despite the burn rate spike, suggesting broader market forces may have capped gains. Weekly burn numbers, however, dropped 80.48%, highlighting the volatility in SHIB’s deflationary metrics. Some traders view high burn surges as coordinated marketing events rather than organic supply reduction. CPI, Broader Crypto Retreat May Limit Near-Term Upside SHIB’s recent pullback could reflect broader crypto market caution. Investors stayed on the sidelines ahead of the May 15 U.S. Consumer Price Index (CPI) report. Risk assets, including Bitcoin and Ethereum, also lost momentum as traders hedged against hawkish inflation surprises. A continued slowdown in U.S. inflation could reignite crypto upside. Conversely, hotter-than-expected CPI may prompt further risk-off positioning, with SHIB and other altcoins vulnerable to deeper corrections. SHIB’s sharp gains outpaced most large-cap tokens last week, but the memecoin’s correlation with market sentiment remains high. Despite Monday’s rejection, some community voices remain optimistic. One post by @CryptoELlTES stated, “Why not a 17x for SHIB?”—highlighting the belief that SHIB remains in a strong accumulation zone. While those claims remain speculative, they echo the recurring optimism seen during past SHIB rallies. Still, traders must weigh those sentiments against technical structure and macro signals. Source: https://www.thecoinrepublic.com/2025/05/13/shiba-inu-burn-rate-soars-6500-is-shibs-100-rally-next/