The Shiba Inu price has remained static in the past 24 hours, holding to $0.000008872 as the cryptocurrency market as a whole gains by a very slight 0.3% today.
This movement means that SHIB has fallen by 4% in a week and by 16% in the last 30 days, with the popular meme token also suffering a 23% drop in the past year.
These are all bad figures, yet SHIB’s fundamentals warrant a substantial recovery, with a new Shibarium update resulting in a marked increase in the token’s automatic burn rate.
As such, the token could witness a marked rebound soon, especially if they wider market becomes more bullish.
Shiba Inu Price Prediction as Shibarium Upgrades Trigger 4,240% Burn Rate Surge – A New Era for SHIB?
SHIB’s chart doesn’t really provide much hope as far as imminent recoveries are concerned, with its indicators still looking pretty subdued.
Its 30-day moving average (yellow) continues to descend towards its 200-day average (blue), with its current price dropping below both.
This is a very bearish sign, indicating further losses, as does SHIB’s relative strength index (purple), which has been languishing at 40 for several days now.
In other words, the coin is really struggling to regain momentum, and its trading volume – which now stands at $84 million – certainly isn’t helping matters.
It was as high as $350 million earlier in the month, so its 75% decline since the first week of January underlines just how out of favor it is with traders at the moment.
As such, it will be interesting to see whether its support level (green) can prevent a fall below $0.00000880.
If it can’t, the coin may continue to witness further falls in the near term.
Yet Shiba Inu’s longer term picture arguably looks much better, with the coin’s burn rate increasing substantially yesterday as a result of a Shibarium update.
If you don’t know yet #Shibarmy, as per #TheShib , #Shibarium automatic #burn mechanism is currently being tested on the #Puppynet and soon will be brought to the Mainnet making the #burn process more transparent https://t.co/FyvL2z0gYf pic.twitter.com/dkWCivPkc2
— Jolt (@Jolt_yourday) January 24, 2024
As the tweet above indicates, a new burn mechanism is being tested on Shibarium, with this mechanism resulting in a whopping 4,240% increase in the total amount of SHIB burned yesterday (compared to the previous day).
This bodes well for the token’s future, because with Shibarium burning millions of SHIB everyday, the reduction in supply could help squeeze the Shiba Inu price up significantly.
Combined with an increasingly bullish market (made more bullish by the next Bitcoin halving), it could reach $0.000020 by the summer.
Alternative Meme Coins for Big Rallies
Because SHIB has underwhelmed in recent months, impatient traders may prefer to investigate newer meme coins, especially those which look set to enjoy initial growth spurts.
What’s exciting about Sponge right now is that it’s in the process of launching the second version of its token, SPONGE V2.
SPONGE V2 will come with a new staking model (and higher yields), while it will also be the native token for a new play-to-earn Sponge game.
Huge milestone alert, #SPONGERS!
There are now over 6 billion $SPONGE tokens staked with a value of $3,958,206.14!
Our holders are enjoying an impressive current APY of +250%.
— $SPONGE (@spongeoneth) January 26, 2024
Set to launch in the next few weeks, the upcoming SpongeBob-themed P2E game will enable players to earn Sponge V2 tokens according to where they rank in the game.
Yet holders of the existing version of SPINGE can lay claim to V2 tokens now by visiting the official Sponge website and staking their older coin, while non-holders can simply buy it outright.
This will give them a 1:1 entitlement to Sponge V2 tokens once the latter launches, with those who continue to stake the new version set to earn a higher yield than they did before.
Indeed, the current APY for SPONGE V2 is now in the region of 250%, with stakers earning this higher rate if they keep their tokens locked up for longer.
10 exchanges not enough? #SpongeV2 will be listed on BIGGER AND BETTER exchanges!
— $SPONGE (@spongeoneth) January 23, 2024
This more aggressive staking model will result in a greater percentage of SPONGE V2’s supply exiting circulation, which in turn could boost its price.
For this reason, SPONGE V2 could have an even bigger opening than its predecessor, especially if the market becomes more bullish by the time it launches.
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