Burn Rate Collapses 87% As Only 550K SHIB Destroyed In 24 Hours

Shiba Inu price today trades near $0.00000842 as the token’s critical burn mechanism shows signs of exhaustion, with the burn rate collapsing 87.39 percent over the past 24 hours. Only 550,844 SHIB tokens were destroyed during this period, a dramatic slowdown that undermines one of the community’s primary deflationary narratives despite recent large individual burn transactions.

Burn Rate Plunges Despite Large Transactions

Shibburn data shows the 24-hour burn rate dropped 87.39 percent to just 550,844 SHIB, one of the lowest daily totals in recent months. The collapse occurred despite several notable burn transactions, including a 2,717,708 SHIB burn yesterday and multiple transactions exceeding 100,000 tokens.

Staked xSHIB totals 3,838,923,375,400 tokens, representing a small fraction of circulating supply. The low staking ratio combined with plunging burn rates suggests holders are neither locking tokens nor actively participating in deflationary mechanisms.

Daily Structure Shows Bearish EMA Configuration

The daily chart shows Shiba Inu trading in a descending pattern since August highs near $0.000015. Price sits below the 100-day EMA at $0.00000905 and 200-day EMA at $0.00001044, creating a bearish technical structure.

Key levels show:

• 20-day EMA: $0.00000838
• 50-day EMA: $0.00000838
• 100-day EMA: $0.00000905
• 200-day EMA: $0.00001044
• Bollinger Band middle: $0.00000905

SHIB trades just above the 20 and 50-day EMAs at $0.00000838, which have converged and are providing immediate support. However, the 100 and 200-day EMAs create a thick resistance zone between $0.00000905 and $0.00001044.

Bollinger Bands show price near the lower band at $0.00000829, with the middle band at $0.00000905 acting as resistance. The upper band sits at $0.00000970, marking the ceiling for any near-term rally attempt.

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The descending trendline from August continues to cap price, currently sitting just above the 100-day EMA. Breaking this structure would require reclaiming $0.00000905 with volume, but the collapsing burn rate removes a key catalyst that historically supported bounces.

Rising Wedge Forms On 30-Minute Chart

The 30-minute timeframe shows SHIB attempting to form a rising wedge pattern with the VWAP cluster between $0.00000840 and $0.00000846 providing support. The RSI reads 59.90, neutral to slightly bullish after recovering from oversold levels.

Price is testing the upper boundary of the wedge near $0.00000852-$0.00000855. A breakout above this level would target $0.00000870 initially, though the daily resistance at $0.00000905 would likely cap any rally.

Rising wedges typically break to the downside, especially when forming after prolonged declines. The pattern suggests consolidation rather than accumulation, with the declining burn rate providing fundamental confirmation that demand is weakening rather than building.

Outlook: Will Shiba Inu Go Up?

The collapsing burn rate creates a fundamental problem that technical patterns cannot overcome. If SHIB breaks above $0.00000855 and reclaims the VWAP resistance, a move toward $0.00000905 becomes possible. However, without burn activity recovering, any rally likely stalls at the 100-day EMA.

If price loses $0.00000838 and breaks below the 20/50-day EMA cluster, the wedge pattern fails. That exposes the Bollinger Band lower boundary at $0.00000829, with deeper downside toward $0.00000800-$0.00000750 if selling accelerates.

Burn rate recovery is essential for sustained upside. Without it, holding $0.00000838 just delays correction.

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