Shiba Inu (SHIB) Gears Up for Potential Parabolic Rally Amid Burn Surge and Shibarium Growth
As the week comes to a close, Shiba Inu (SHIB) has once again caught the eye of investors, driven by bullish market conditions and ecosystem advancements. The price of SHIB seems well-positioned for a potential parabolic rally reminiscent of its 2021 surge, thanks to several key developments. Among these, the SHIB burn mechanism continues to significantly reduce the token’s supply, while increased activity on the Shibarium blockchain has bolstered market confidence.
Speculation is now growing over whether the dog-themed meme coin could see another meteoric rise similar to 2021, with some even suggesting a $1 price target is on the horizon.
Shiba Inu Coin Burn Soars Amid Shibarium Activity Surge
This week has been particularly promising for SHIB, as data from Shibburn on X revealed an impressive 920% jump in the weekly burn rate. Over the past seven days, 320 million SHIB tokens have been burned, reducing the overall supply significantly. As of the time of writing, SHIB’s total supply stands at 589.26 trillion.
Additionally, intraday burn data from Shibburn showed a 367% increase, with 11 million tokens burned in just one day. This substantial reduction in supply has fueled bullish sentiment, as it aligns with basic supply and demand principles.
Adding to the optimism, SHIB’s marketing lead Lucie highlighted on X the growing activity on Shibarium, the Shiba Inu Layer 2 blockchain. The network saw nearly 30,000 new transactions and over 18,200 contracts in October, up from 17,800 in late September. This growth underscores the increasing adoption and utility of Shibarium, further enhancing the outlook for SHIB.
Could SHIB Repeat Its 2021 Parabolic Rally to $1?
In 2021, Shiba Inu saw an extraordinary price increase of 45,000% between January and May, followed by another 1,500% surge in October, reaching an all-time high of $0.00008845. Now, with the recent positive developments in the SHIB ecosystem, many are questioning whether a similar rally could be on the cards.
At the time of this report, SHIB was trading at $0.00001936, up nearly 3% on the day. The token’s intraday low and high were recorded at $0.00001851 and $0.00001948, respectively. The positive price movement aligns with the surge in token burn and Shibarium’s growth. Furthermore, data from Coinglass revealed a 5% increase in SHIB’s futures open interest (OI), now standing at $63 million, indicating heightened investor interest.
According to a recent analysis by CoinGape Media, there is potential for SHIB to reach $1, especially with the upcoming launch of the Shib DAO Foundation and other ecosystem initiatives. As market enthusiasm for meme coins grows, the possibility of SHIB reaching new heights seems more plausible than ever.
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