Shiba Inu price prepares a big move as burn rate surges 940%

Shiba Inu price is preparing for a major uptrend as token burning accelerates, the crypto fear and greed index remains in the green zone, and a bullish trend is formed.

Shiba Inu (SHIB), the second largest meme coin, was trading at $0.000026 on Tuesday, November 19, just above last Friday’s low of $0.0000246. It increased by 142% from its lowest level in August.

SHIB’s recovery comes as data from Shiburn showed the number of Shiba Inu tokens burned on Tuesday increased by almost 940% to 3.69 million. This burn increased the total number of SHIB tokens burned to over 410 trillion, while its circulating supply remained at 583.7 trillion tokens.

Shiba Inu’s token burn involves sending tokens to a keyless wallet, effectively removing them from circulation. These tokens come from ecosystem networks such as Shibarium and ShibaSwap, as well as voluntary contributions from community members.

The Shiba Inu is also recovering as the crypto fear and greed index remains in extreme greed territory at 83. Historically altcoins tend to perform well when greed sentiment increases in the crypto market.

This sentiment also led to gains in other meme coins, pushing the total market value of the meme coin industry to $128 billion. This valuation surpasses that of major companies such as Lockheed Martin, Palo Alto Networks, ADP and Airbus.

Shiba Inu price has formed a bullish pattern SHIB price chart | Source: crypto.news

The outlook for the Shiba Inu remains bullish as the coin remains quite bullish on the daily chart. It shows a cup and handle formation characterized by a rounded base followed by a retraction or consolidation near the top.

The handle part of the coin is in the process of being created. A break of the top of the cup above $0.00002933 could signal further gains; The next target is the year-to-date high at $0.000045, which is 76% higher than the current level.

The Shiba Inu remained above the 50-day moving average while the Market Value to Realization indicator rose above 3. However, a decline below the key support level at $0.000020 will invalidate the bullish view.