Why is the price of Shiba Inu (SHIB) going up today?

TL;DR

Shiba Inu ( SHIB ) rose more than 10%, hitting a two-month high, with a market capitalization of $9.7 billion. The revival aligns with Shibarium’s progress and a 640% increase in burn rate, reducing supply and driving optimism. SHIB Rally

The popular meme coin, Shiba Inu (SHIB), is among the top performing cryptocurrencies today (September 26), with its price up more than 10%. It is currently trading at a nearly two-month high of approximately $0.00001634 (according to CoinGecko data). Its market capitalization rose to $9.7 billion, a level last seen in late July.

SHIB Price, Source: CoinGecko

Shiba Inu has a broad community base made up of incumbents and advocates. According to IntoTheBlock, around 50.3% of all SHIB investors are sitting on some paper profits as of now, while 43% are underwater.

It is interesting to note that almost 80% of the holders jumped on the bandwagon more than a year ago. 19% did so in the last 12 months, while only 2% joined the ecosystem in the last 30 days.

SHIB’s resurgence coincides with a general revival of the entire meme coin niche, whose market capitalization is approaching $50 billion. Dogecoin (DOGE), Pepe (PEPE), dogwifhat (WIF), Bonk Inu (BONK) and many more are doing well in the green on a daily and weekly scale. On the other hand, Gossos (GOSS) and Neiro (NEIRO) are among the few that have witnessed some losses in the last 24 hours.

Looking closely

There are many bullish factors that may have contributed to SHIB’s latest price increase. An example is the advancement of the layer 2 scaling solution: Shibarium. As reported by CryptoPotato, the blocks processed on the network recently exceeded 7 million.

Next on the list is SHIB’s burn rate, which has shot up 640% daily, resulting in approximately 5.5 million tokens being sent to a null address.

The ultimate goal of the mechanism is to reduce the circulating supply of the meme currency, potentially causing a spike in prices due to scarcity. Over the past few years, more than 410 trillion tokens were destroyed, leaving 583.5 trillion in circulation.

Some analysts believe that SHIB’s price could rise much higher in the near future. Examples are users X JAVON MARKS and pepa. The former believes the coin could be preparing for a rise towards $0.000081, while the latter predicted a 10,000% rise.

The second scenario is quite unlikely considering the fact that Shiba Inu’s market capitalization is set to explode to $800 billion.

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