can its price recover by 90%?

Shiba Inu price joined other cryptocurrencies in a sharp sell-off as the recent rally took a breather and the burn rate decreased.

Shiba Inu (SHIB), the second largest meme coin, fell 21% from this month’s high to $0.000024.

Data from Shiburn shows that the coin’s burn rate dropped 30% to 3.4 million on November 26. This brings the total number of coins burned to 410 trillion; This trend is expected to continue in the coming years.

Shiba Inu burns occur in a variety of ways, including Shibarium and ShibaSwap transaction fees. According to Shibarium Scan, more than 561 transactions were carried out on the network, increasing the number of addresses in the ecosystem to 1.93 million.

Shibarium, a layer 2 network, has seen a decline in daily fees despite increased transactions. The fees on November 25 were at the level of 714 BONE, that is, 342 dollars, and some of these money were converted into SHIB and burned.

ShibaSwap, a decentralized exchange on Shibarium, has total assets of over $23.2 million. DeFi Llama data shows nearly 40 active addresses in the last 24 hours, with total annual fees reaching $2.4 million.

The price of the Shiba Inu also fell as data revealed whales were selling the coin and possibly making a profit after the recent rise. The biggest whale transaction on November 26 was a token sale worth $4.8 million; The other two whales sold tokens worth $2.2 million and $1.8 million, respectively.

Shiba Inu price may still reach YTD highest SHIB chart | Crypto.news chart

Technical indicators show that the SHIB price could rise 90% to $0.000045, its highest level since the beginning of the year.

On the daily chart, the cryptocurrency formed the cup and handle pattern, which is a bullish indicator. The upper limit of this model is $0.000029. By measuring the depth of the cup, predictions indicate that the cryptocurrency could rise to $0.000046, approximately 94% above its current level.

Shiba Inu has also developed a bullish pennant formation characterized by a vertical line and a symmetrical triangle. Typically this pattern leads to an uptrend as it approaches the confluence of the triangle.

Additionally, SHIB recently formed a golden cross pattern where the 200-day and 50-day moving averages cross. These indicators suggest that the uptrend remains intact and the coin could soon retest its year-to-date high.