Shiba Inu Price Hangs by a Thread as SHIB Burn Rate Soars 3,200%

Shiba Inu’s current price action feels like it’s teetering on the edge—caught between a growing deflation narrative and mounting bearish pressure. At $0.00001192, SHIB is clinging to a critical support zone that’s been tested multiple times since 2021. Historically, this level has acted like a trampoline, keeping prices from slipping deeper into the abyss. But now, with broader market uncertainty and sentiment shifting, the question is: how much longer can it hold?

Despite the grim technical setup, one thing that stands out is the burn rate. A 3,200% spike in SHIB’s daily burn is no small thing. Over 30 million tokens torched in a day, largely by a few dedicated users, reflects a community still invested in the deflationary mechanics of the ecosystem. In fact, more than 410 trillion tokens have already been permanently removed from circulation. That’s massive—though when you’re working with a starting supply of 1 quadrillion, it takes a lot to make a dent. Still, that burn momentum, especially as Shibarium ramps up and starts auto-burning fees via BONE, could slowly shift the supply dynamics in SHIB’s favor.

Speaking of Shibarium—it’s perhaps the most bullish piece of the puzzle right now. The network is pushing toward 200 million wallet addresses and has already facilitated over a billion transactions. That kind of ecosystem activity is rare among meme coins and adds real backbone to SHIB’s longer-term thesis. If adoption of Shibarium continues at this pace, the resulting token burns from BONE gas conversions could inject some much-needed scarcity into the mix.

But for now, the technicals are doing all the talking. SHIB is locked below its 2024 highs by nearly 75%, and that double-top neckline around $0.0000335 has morphed into a distant memory. If the current trendline fails—one that’s held since the 2021 cycle lows—the next logical support sits near $0.00000584, the June 2023 bottom. That would be another 50% drop, and a brutal blow to already demoralized holders.

The reality is, only 20% of wallets are in profit at today’s levels, down from 91% just months ago. That’s a staggering reversal in sentiment and likely part of the reason the token’s range has tightened—buyers are hesitant, and sellers are waiting for a clearer breakdown.

Still, SHIB isn’t your typical meme coin anymore. Between Shibarium’s rising adoption, the token’s unique deflationary structure, and an active community, there’s a foundation here that sets it apart from peers like DOGE or PEPE. The real question is whether that’s enough to counteract the macro headwinds and bearish momentum in the short term.

Bottom line? If SHIB holds this support again, it could become the base for a recovery leg—especially if volume returns and burn momentum keeps up. But if it breaks, expect the next level down to be painful and test long-term conviction.