Ethereum News Today: Shiba Inu's Stagnant Price Hides a War Between Whales and Burners

Shiba Inu (SHIB) remains in a holding pattern around $0.000012, with market participants closely watching for signs of a breakout in either direction. Recent on-chain activity and whale behavior indicate both bearish and bullish possibilities, creating a complex picture for investors. Despite the token’s current price stagnation, several factors—including token burns, ecosystem developments, and broader market sentiment—continue to shape its trajectory.

The SHIB price has shown modest gains over the past week, with a 4.64% increase from $0.000012 to $0.000013, while the 24-hour change stands at 1.38%. The token’s market capitalization currently sits at $7.39 billion, representing 0.2% dominance in the broader cryptocurrency market. SHIB ranks third in popularity on Coinbase, but its trading activity has been mixed. Over the last 24 hours, the volume was $145.71 million, a significant drop compared to the $161.76 million average for the previous week. The weekly trading volume, at $1.13 billion, reflects a broader but uneven trend.

Despite the recent uptick in price, the SHIB ecosystem has faced several headwinds. Whale activity has been a double-edged sword; while some large holders continue to accumulate, others have been offloading their positions. In June 2025, a whale purchase of 10.4 trillion SHIB tokens signaled optimism, but this was countered by reports of massive dumps, such as a 300 billion SHIB sell-off that pushed the price close to critical support levels in late August. On-chain metrics also indicate bearish signals, including an EMA crossover and rising bearish power. However, these negative indicators are being partially offset by a positive Chaikin Money Flow (CMF) and increased wallet accumulation.

Efforts to reduce SHIB’s circulating supply through token burns have been a focal point for the community and analysts alike. SHIB’s total supply is one quadrillion tokens, and over 50 billion have already been burned through mechanisms like Shibarium transaction fees. Analysts argue that further, sustained burns could significantly deflationary pressure on the supply, potentially pushing SHIB closer to a price target of $0.00001. For example, if the token’s supply were reduced by even a fraction, it could improve its fundamentals and attract renewed investor interest. The upcoming integration of automatic burn features into Shiba Inu-themed NFTs could also play a role in this process.

Ecosystem developments have been another catalyst for market activity. Shibarium, the Layer-2 blockchain launched in August 2023, continues to support SHIB’s burn campaign and improve transaction efficiency. The platform has achieved a milestone of 1 billion transactions and shows promise in driving broader adoption. Meanwhile, ShibaSwap remains a cornerstone of the ecosystem, facilitating token swaps, liquidity provision, and staking. The recent migration of LEASH v1 to v2—a token with governance and liquidity-incentive functions—has added another layer of complexity to the SHIB ecosystem and drawn attention from both retail and institutional investors.

The broader memecoin market has also had an indirect influence on SHIB’s performance. While tokens like Dogecoin and Pi Coin have seen notable rallies, SHIB has lagged, partly due to whale exits and reduced investor enthusiasm. This divergence highlights the importance of SHIB-specific factors, such as token burns and ecosystem activity, over general market sentiment. Nonetheless, the token remains a key player in the memecoin space, with its price performance closely correlated with Ethereum (ETH) and Bitcoin (BTC) movements. For example, SHIB has underperformed against both ETH and BTC by 49.14% and 54.48%, respectively, over the past month.

Looking ahead, SHIB’s future depends on a combination of on-chain activity, ecosystem progress, and macroeconomic trends. Analysts have projected varying outcomes, but most agree that sustained deflationary pressure through token burns and increased usage of SHIB in decentralized applications could drive the price toward $0.00001. However, the token’s massive supply remains a challenge, and reaching such targets would require unprecedented adoption and demand. As the market awaits a clear breakout, investors will be watching key resistance and support levels for signs of a decisive move.

Source:

[1] SHIBA INU Price, SHIB Price, Live Charts, and Marketcap (https://www.coinbase.com/price/shiba-inu)

[2] Here is How Shiba Inu Can Reach $0.001 By Reducing ... (https://thecryptobasic.com/2025/09/06/here-is-how-shiba-inu-can-reach-0-001-by-reducing-supply-with-these-5-methods/)

[3] SHIB to ETH: Shiba Inu Price in Ether (https://www.coingecko.com/en/coins/shiba-inu/eth)

[4] Just 10 Wallets Control Majority Of Ethereum Supply (https://bitcoinist.com/10-wallets-majority-ethereum-supply-20-tokens/amp/)