Shiba Inu Price Surges 14% as 1.3 Billion Tokens Burned

Shiba Inu, a prominent meme coin, has recently shattered a triangle pattern and hit a one-month high, marking a significant breakout with strong momentum. This surge in price was accompanied by an explosive burn rate, with over 1.3 billion SHIB tokens removed from circulation in just seven days. This deflationary event has boosted investor confidence and sparked renewed interest in the cryptocurrency community.

The burn rate explosion is a critical factor in this breakout. The burn mechanism involves sending SHIB tokens to a dead wallet, effectively removing them from circulation. This reduction in supply can create scarcity, which is a fundamental driver of value in any asset. The recent surge in the burn rate suggests that a significant number of SHIB tokens are being removed from the market, which could lead to a supply shock and drive up the price. According to Shibburn, July 10 alone saw over 1 billion tokens destroyed, the biggest single-day burn in SHIB’s history. This burn surge didn’t happen by accident. Whale activity and Shibarium’s automated systems played major roles. One whale alone burned over 131 million tokens. The SHIB army isn’t just talking about deflation—they’re making it happen.

On the technical front, SHIB has flipped bullish. It broke free from a long-term descending triangle on the SHIB/BTC chart. That move signals a reversal after months of decline. Tim Hakki from CryptoNews believes the breakout could start a fresh trend. He points out SHIB also climbed above its 50-day simple moving average of $0.00001242. Crypto analyst Jonathan Carter highlighted resistance levels at $0.00001500, $0.00001750, and $0.00002500. Right now, SHIB is testing midline support within a descending channel. That 50-day average acts as a key breakout zone.

Despite this momentum, SHIB still trails Dogecoin in their trading pair. But the tone has shifted. There’s growing belief that SHIB could finally challenge DOGE’s lead. That’s the question everyone’s asking—can SHIB dethrone Dogecoin? It won’t be easy. DOGE still rules in market cap and reputation. But SHIB’s deflation and expanding ecosystem are closing the gap. Shibarium, the project’s Layer 2 blockchain, is adding real-world use. Tools like ShibTorch even convert gas fees into automated burns. That’s utility-driven deflation—a rare combo in the meme coin world. Lucie, a core SHIB team member, highlighted this shift. “More developers, fewer speculators,” she said. That comment shows the project is growing up. The culture is shifting from hype to purpose. The circulating supply now stands at about 584.56 trillion. That’s down significantly from the original 1 quadrillion.

For now, analysts still caution that burns alone don’t spark rallies. Demand must grow too. Right now, SHIB trades near $0.00001311. That’s a 14% jump in one week. Analysts believe the price could test $0.00001500 soon. If momentum stays strong, $0.00002500 may follow. Some bullish traders even see a 4x move on the horizon.