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Shiba Inu (SHIB) has registered notable price gains in the last 24 hours as it broke a critical resistance level. Given its upward trajectory, SHIB looks set to lose another zero in price as activity picks up on the crypto market.
Shiba Inu breaks out despite weak volume
Per CoinMarketCap data, SHIB price was trading up by 3.46% at $0.00001208 in the last 24 hours. This followed an upsurge in price as the dog-themed meme coin cleared the $0.000012 resistance level. This is where it has faced several rejections within the past seven days.
Gamza KhanzadaevCurrent indicators signal that SHIB might test higher ground given that it has established a strong support at $0.000011. Some market observers see this support as strong enough to fuel its journey to losing an additional zero as it gains value.
Notably, with the price up, it may build on this momentum to continue growing as investors rekindle their interest in trading the meme coin. If it loses the zero as predicted, it may trade at a new high of $0.0001 per token.
However, as of press time, investors have yet to show serious interest. The trading volume has decreased by a significant 22.93% to $111.99 million within the same time frame.
Technically, SHIB is promising further growth as large transactions jumped by 173% at one point during the week. The uptick might have been triggered by whales and investors looking to rearrange their portfolios ahead of a rally.
The breach of the $0.000012 resistance suggests that investors’ projections were right.
Zero-loss scenario hinges on key metrics
Meanwhile, the Shiba Inu weekly deflationary mechanism returned this week, increasing by approximately 20%. Although it remains a far cry from historic figures, the development signals a renewed burn trend in the community.
Yuri MolchanThe rebound in the burn rate has been traced to the resurgence of SHIB whales and their recent accumulation of the token.
For SHIB to maintain the current upsurge in value and possibly lose a zero, the meme coin has to increase its burn rate and trading volume.
Vladislav Sopov
Dan Burgin