- Shiba Inu (SHIB) transactions have surged 350% as trader confidence grows.
- Over 1B SHIB have been burned, fueling deflation and price speculation.
- Golden cross formation confirms bullish momentum toward $0.000018.
Shiba Inu (SHIB) has captured renewed attention in the crypto markets with signs of a major breakout.
The memecoin has outperformed key rivals like Bitcoin (BTC) and Ethereum (ETH) in recent days, driven by surging on-chain activity, an explosive burn rate, and the confirmation of a golden cross on its daily chart.
As technical and fundamental indicators continue to align, many investors are now asking whether SHIB is preparing for a substantial move higher.
Shiba Inu transactions have spiked as confidence grows
In the past ten days, Shiba Inu’s average transaction size has surged by 350%, rising from $2,600 to more than $11,700, according to data from IntoTheBlock.
This sharp increase is a strong signal that traders are placing larger bets on SHIB, reflecting growing market confidence and bullish sentiment.
This surge in activity coincides with a 2% price gain that pushed Shiba Inu (SHIB) to $0.000014—its highest level since May. Much of this upward pressure stems from Ethereum’s 16% weekly rally, which has lifted sentiment across Ethereum-based tokens like SHIB.
With Ethereum outperforming Bitcoin recently, many retail traders have turned to assets within its ecosystem, and SHIB has clearly benefited from this trend.
The explosive Shiba Inu (SHIB) burn rate
As Shiba Inu’s price rallies, SHIB’s burn rate (representing the number of SHIB tokens permanently removed from circulation) has surged over 2,000% in the past week.
More than one billion SHIB tokens have been burned during that period, significantly boosting the asset’s deflationary momentum.
This aggressive burn activity is a critical part of SHIB’s long-term strategy. By reducing supply, the token becomes more scarce, potentially increasing its value if demand rises.
The rising burn rate, combined with a growing ecosystem, has revived discussions around bold price targets. Some analysts even speculate a path toward $0.00017 or beyond. CoinLore has predicted that the memecoin could rise to between $0.0000377 and $0.0000624 before the end of this year.
Golden cross confirmation fuels more bullish sentiment
From a technical analysis point of view, SHIB’s technical outlook has strengthened significantly.
A golden cross pattern formed on the daily chart after the 9-day moving average crossed above the 26-day moving average.
Historically, this pattern often preceded significant price rallies for SHIB and other altcoins.
Moreover, momentum indicators such as the MACD show continued bullish divergence. The MACD histogram is in positive territory, and the MACD line has extended its lead above the signal line.
However, traders should proceed with caution, seeing that the RSI indicator is currently at around 67, three points off the overbought region of 70, meaning a short-term pullback could be possible.
As long as SHIB stays above the key support level at $0.0000125, technical analysts expect a potential breakout.
A drop below $0.000012 could invalidate the current setup and trigger a short-term pullback to the $0.000011 level.
That said, if SHIB manages a clean breakout above $0.000016, the path to retesting March’s local top at $0.000018 becomes more likely.
With the regulatory developments in the US, especially around the CLARITY Act and other crypto-related bills, improved legal clarity could add fuel to the ongoing Shiba Inu (SHIB) rally.
Additionally, Shiba Inu’s recent launch of DegenSafe, a platform for meme coin creation on Ethereum, has added further utility and attention to the token.
