The price of Shiba Inu, the most popular meme coin with a dog motif, and the overall crypto market fell by more than 1% today. Major cryptocurrencies like Dogecoin, PEPE Coins, and others saw a decline in value, as did the meme coins industry. Nevertheless, optimism is still prevalent in SHIB despite the recent decline.
Today’s 1100% increase in the Shiba Inu burn rate has improved the market mood. However, several current events and market patterns indicate Shiba Inu’s potential July increase to $0.00002.
Shiba Inu Burn Rate Drives Opinion in the Market
Shiba Inu’s price declines reflect the wider decline in the cryptocurrency market, as the meme coin industry has also experienced declines. Notable tokens like Dogecoin and PEPE Coin saw decreases as well.
However, according to Shibburn, attention is now focused on a striking increase in SHIB’s burn rate, which has increased by almost 1100% in a single day. About 19.76 million SHIBs were destroyed the previous day, indicating a significant attempt to lower the total supply.
The burn rate rise was primarily caused by two large transactions by a single address, “0xa9d.d3e43,” which burned 6.94 million SHIB apiece. In addition, the SHIB burn rate rose by 13% during the previous week, resulting in roughly 83.37 million SHIB being removed from the starting supply.
With this effort, the total amount of SHIB burnt to date is 410.72 trillion, leaving 583.33 million in circulation. The SHIB community should take heart from the increasing burn rate, which points to a possible price rally. In this particular situation, the burning process decreases the market’s supply, increasing the asset’s value.
This confidence is also supported by historical evidence, which shows that Shiba Inus performed well in July. According to CryptoRank, SHIB increased by 11.8% in July 2023 and 13.4% in July 2022.
Having stated that, given an average increase of about 12%, SHIB price may reach the critical resistance level of $0.00002 if this trend persists. It’s important to remember that past success does not automatically imply that cryptocurrency trading will continue. For comparison, the price of Shiba Inu had a 28.5% decline in July 2021.
Coin Base’s Tactical Actions Boost Hope
Coinbase’s most recent regulatory filing raises optimism by hinting at new opportunities for SHIB. The cryptocurrency exchange has applied for permission to sell Shiba Inu-related merchandise in the future, along with other cryptocurrencies like XLM and AVA.
The filing to the Commodities Futures Trading Commission (CFTC) includes proposals for derivatives linked to DOT, SHB, XLM, AVA, and LNK, with possible trading beginning as early as July 15. Notably, Coinbase’s action fits nicely with its plan to reach a more extensive investor base and grow its derivatives business.
This could improve SHIB’s market position and attract more institutional and individual investors. By abiding by U.S. regulatory norms, Coinbase hopes to strengthen its market offerings and give traders various solid altcoin trading choices, including SHIB.
Shiba Inu prices touched a 24-hour high of $0.00001786 during writing, but they later fell 1.3% to trade at $0.00001704. SHIB dropped almost 5% during the previous seven days, indicating market selling pressure. According to CoinGlass statistics, Shiba Inu’s Open Interest increased by 4% to $35 million despite the price decline, demonstrating significant market interest in the meme coin.
