SHIB Burn Rate Collapses: Is This the Death of Meme Coins?
Until now, around 410 trillion SHIB tokens have been permanently removed from circulation, Shibburn data shows.
Burns have often been used to support price by slowly reducing supply. However, with no tokens burned in the past day, that factor has become neutral in the short term.
Meanwhile, SHIB price action is no longer reacting to social hype or market mood. Current movement is driven mainly by leverage and liquidation pressure and is more sensitive to forced liquidations.
Leverage Levels Now Control SHIB Price Direction
According to CoinGlass data, the level that causes the most damage to long traders sits near $0.00777. On the other side, short sellers face pressure closer to $0.0086. With SHIB trading around $0.00816, the downside liquidation zone is much closer.
In meme coins which have thin markets, even small moves can trigger chains of liquidations. For SHIB, a decline of less than 5% is enough to start liquidating long positions.
SHIB Price Analysis: Risk Before Recovery
The weekly chart shows SHIB trading near a long-term support zone. A clear downward trend line has guided prices lower for months, and price is now sitting at the base of this structure.
The RSI near oversold levels and MACD still below the neutral line indicate that the momentum is weak for a recovery rally.
Source: TradingView
If support fails, the chart shows room for a roughly 20% drop from current levels before any primary demand appears. This aligns with the liquidation zone near $0.00777.
On the other hand, a recovery would first need to reclaim the red resistance zone on the chart, which could eventually lead to a re-test of the $0.00005 region.
Another Dog-Themed Meme Coin Project Is Generating Actual Hype
While SHIB has failed to impress with utility and token burns, a new meme coin is rapidly climbing up the popularity ladder, attracting attention in a hurry.
Maxi Doge ($MAXI), a meme coin project on the Ethereum [NC] blockchain, has raised a monumental $4.3 million in its ongoing presale.
Combining fun with the high-energy sentiment of trading, Maxi Doge taps into the same energy that the early days of Dogecoin [NC] brought, and continues its 1000x rally in a matter of months.
Maxi Doge is not all memes and risky trading but is actually providing utility as well!
The meme coin project creates a community for sharing trading setups, alpha leaks, and early opportunities. It also provides a massive 71% per annum staking reward for early $MAXI buyers.
To buy $MAXI before prices increase in 37 hours, visit the official Maxi Doge website and then connect a supported wallet (like Best Wallet).
After following the instructions, you can easily complete the $MAXI purchase by swapping crypto in your wallet or using a debit/credit card.
nextThe post SHIB Burn Rate Collapses: Is This the Death of Meme Coins? appeared first on Coinspeaker.
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