Shiba Inu (SHIB) is one memecoin that has exploded in popularity in recent years, even garnering an enormous following among blockchain users, fintech aficionados, and meme cryptocurrency fans.
Much has happened for Shiba Inu in April, including burn rate spikes, price explosions and others.
The most recent event for Shiba Inu was a significant purchasing arc by whales after Shibarium, which caused the price to significantly surge and may have involved token burning to boost the price.
In this article, we examine fundamental, technical and on-chain metrics to track the price of the memecoin and examine how possible a bullish rally is for it, in the coming weeks.
The gap between Shiba Inu and Dogecoin is gradually closing, and the launch of Shibarium has shown to be highly beneficial for the platform so far.
However, the network's developers believe that continuing the burn of their tokens will dramatically increase the price and give them a pricing edge against Dogecoin.
In the last 24 hours, the burn rate of the Shiba Inu token increased by an astounding 3,500% as 8 million $SHIB got removed from circulation.
It is also important to remember that the relatively low rate of coins removed from circulation yesterday may have been the cause of this 3500% rise in Shiba Inu's burn rate.
So far, the 3,100% rise in burn rate has had little to no effect on the market value of SHIB, nevertheless, given the enormous quantity of 574 trillion tokens still in circulation.
The mainstream media is now aware of the hype surrounding Shiba Inu and the SHIB metaverse.
In a recent story, CNBC investigated whether Shiba Inu may actually have the strength to eventually dethrone Dogecoin, which is now the largest memecoin.
CNBC appears to think so.
Shiba Inu, according to the media outlet, may surpass Dogecoin very soon.
CNBC argues that while Dogecoin currently has a market cap advantage over SHIB of more than six billion dollars, this lead could eventually disappear as a result of Shiba Inu's endeavours for "unique use cases."
CNBC argues that the most useful aspect of Dogecoin is that it can be used to pay for products and services. Some companies have begun to accept DOGE as payment since DOGE's price hike in 2021 and accompanying growth in popularity.
Shiba Inu's utility, on the other hand, stems from a range of application scenarios. The project's decentralized exchange (DEX), dubbed ShibaSwap, which enables users to swap tokens, access liquidity pools, buy and sell NFTs, stake their tokens, and take part in governance, taps into the DeFi market. Shibarium, Shiba Inu's layer-2 scaling solution, was just released, and it will make it easier to create decentralized apps.
Since the beginning of the year, the DAA (Daily Active Addresses) on the Shiba Inu network has seen an average of 5,000 to 6,000 transactions every day, according to data tracker IntoTheBlock.
Dogecoin, however, outperforms its less powerful opponent. Since January 1, Dogecoin's DAA has consistently averaged well above 50,000, indicating that its network has drawn substantially more investors than Shiba Inu.
Marcie Jastrow, a member of the Shiba Inu Metaverse team, alluded to Hollywood's growing interest in the metaverse in a recent tweet.
https://twitter.com/marciejastrow/status/1648771835050475520
Jastrow, a seasoned IT professional who joined the Shiba Inu team in May 2022, is attempting to establish several brand alliances to increase the meme coin's visibility in the entertainment industry.
Hollywood insiders' rising interest in SHIB's Metaverse demonstrates how the entertainment sector is now seeing the promise in virtual worlds and blockchain technology.
The Shiba Inu team received an invitation earlier this year to showcase the metaverse project at the Texas-based SXSW event in 2023.
And by the end of 2023, the SHIB: The Metaverse will be largely open, giving people the chance to explore, construct, design, play, and develop there.
Asides from the promising aspects of Shiba Inu's fundamental analysis, a potential downturn may be in the works for the memecoin.
According to on-chain data, SHIB holders may be getting ready for greater selling in the days ahead.
SHIB's, 30-day Market Value to Realized Value (MVRV) ratio, which assesses holders' short-term gain or loss, is now getting close to a possible sell zone. The MVRV ratio is getting close to being in a high-risk area with the majority of investors sitting on 6.87% profits.
TradingView's technical analysis pane also shows strongly bearish conditions and a sell verdict on all indicators and oscillators.
On the charts, we can also see a breach in Shiba Inu's ascending trendline, indicating that the bears may have been slightly stronger than the bulls anticipated.
On the RSI, the memecoin has also gravitated below the neutral zone, indicating that the bears may have seized power and may be driving the SHIB down to a retest of $0.0000097.
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