September 12th• 3 min read
SHIB Targets 22% Rally Despite 94% Burn Rate Crash
Shiba Inu's burn rate plummeted 94% to just 70,153 tokens daily, yet technical indicators suggest a potential 22% price surge as SHIB consolidates above key support levels.
Key takeaways
🔥 Burn Rate Crash: Daily SHIB burns dropped 94% to just 70,153 tokens worth $0.93, highlighting Shibarium's limited fee generation.
📈 Technical Strength: Despite weak fundamentals, SHIB shows double-bottom pattern formation with potential 22% upside to $0.00001585.
💰 Smart Money Activity: Exchange balances declining as institutional investors accumulate, with smart money holdings up 62% from last month.
🎯 Key Levels: SHIB trading around $0.00001314, with critical resistance at $0.00001585 and support holding at $0.00001020.
Deep dive
Shiba Inu presents a fascinating contradiction between declining fundamentals and strengthening technicals.
While the burn rate has crashed 94% to an insignificant 70,153 tokens daily, worth less than $1, technical analysis reveals a potential double-bottom pattern that could drive prices 22% higher to $0.00001585.
The disconnect stems from Shibarium's limited adoption, generating only 28.57 BONE tokens in fees over 24 hours.
However, smart money continues accumulating, with institutional holdings rising 62% month-over-month, suggesting sophisticated investors see value despite current weakness.
The technical setup, combined with declining exchange balances, creates a potential catalyst for upward movement if broader market conditions remain supportive.
Polaris insights AI-generated
Disclaimer: This article may contain content generated or assisted by AI, based on information from public sources. While we aim for accuracy, no content should be taken as financial or trading advice. Always do your own research and consult a professional before making investment decisions. Markets are volatile and involve risk.
