TL;DR

Analysts suggest a substantial surge for SHIB if the asset remains above a certain support line and buying pressure returns. On the other hand, Shibariums stalled progress and Shiba Inus declining burn rate indicate that the bearish mode may persist a bit longer. 

The Potential Rally

The second-largest meme coin registered substantial gains on a couple of occasions during this bull run. Lately, though, its price has been underperforming and stands far below the peak levels. As of this writing, Shiba Inu (SHIB) is worth roughly $0.00001349, representing an 18% decrease on a monthly scale.

SHIB Price, Source: CoinGecko One person who touched upon the meme coins recent price fluctuations is the X user Ali Martinez. The analyst claimed that SHIB is holding strong above the critical $0.000013 support, predicting a possible 50% pump to $0.00020 if buying pressure picks up. 

It is worth noting that several hours ago, the valuation briefly dropped below the depicted zone before rising again. 

Another industry participant who made a bullish forecast is JAVON MARKS. Approximately a week ago, the X user maintained that SHIB keeps holding its breakout, which took place in late 2022 and early 2023. 

With this price breakout holding, the target for SHIB continues to be at the $0.000081, they added. Such a price increase would mean a 500% explosion from the current levels. 

The Bears Might Reign a Bit Longer

Contrary to the bullish predictions of some market observers, several vital factors signal that SHIB could be headed for a further downtrend in the short term.

An example is Shibariums stalled progress. While the layer-2 scaling solution was processing multi-million daily transactions at the start of the year, the figure has recently plummeted to 55,000. This could indicate decreased network activity, reduced user engagement, and fading interest in the ecosystem.

Next on the list is Shiba Inus burning program, whose ultimate goal is to reduce the circulating supply of the meme coin and make it more valuable in time. Over the past seven days, the team and community have destroyed less than 90 million SHIB, meaning a 30% weekly decline. 

The total number of tokens sent to a dead wallet since adopting the program stands at more than 410 trillion, leaving around 584.2 trillion in circulation (which remains quite significant).