Is 'Dogecoin Killer' Shiba Inu On A Bearish Path? Whale Transactions, Burn Rate Suggest Otherwise

‘Dogecoin Killer' Shiba Inu SHIB/USD has treaded water over the past week despite a wider market rally, raising curiosity if the meme coin remains bullish or bearish.

What Happened: Shibburn data shows the burn rate spiking 545.3% in the past 24 hours, with a total of 10.3 million SHIB coins burned. Over the past 19 hours, four transactions burned above 1.4 million coins.

The Shiba Inu community officially petitioned Binance to burn SHIB, requesting the Shib Army to show support by signing the petition. The petition, initiated by Labib, a ShibArmy member, targets 50,000 signatures with 111 signatures received until July 19.

It asks Binance to implement a daily burn mechanism of 1% for all Shiba Inu token transactions. This step is taken in the interest of pushing the meme coin's price higher for long-term sustainability.

Price Action: In the past 24 hours, SHIB is down 0.4%, bringing its seven-day losses to 1.7%>

Also Read: ‘Dogecoin Killer’ Shiba Inu Burn Rate Up 875% But Price Down 10%: What Is Going On?

Why It Matters: Shibariumscan data shows daily transactions up to 6,350 as of July 21 from 3,330 as of July 20. New accounts almost doubled from 11 to 21 during the same period.

Whale Alert data shows 2.7 trillion SHIB, worth $48.3 million, transferred from Robinhood to an unknown wallet on the weekend. The wallet address is one of the largest SHIB holders, currently owning 36.6 trillion SHIB tokens, worth $654 million. With one whale address holding a significant amount of SHIB, any coin movements could significantly affect the price of SHIB.

Benzinga's technical analysis data shows Shiba Inu's RSI at 66.7 on July 21. The 200-day Simple Moving Average (SMA) on the SHIB chart is higher than the 100-day SMA, suggesting a bearish long-term trend. It also implies that recent price action has been less bullish than medium-term price action.

What’s Next: The influence of meme coins is expected to be thoroughly explored at Benzinga’s upcoming Future of Digital Assets event on Nov. 19.

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