Shiba Inu's (SHIB) Potential for Zero Removal in 2026: A Technical and On-Chain Analysis

The Shiba Inu (SHIB) token, once a meme coin darling, has faced relentless volatility since its inception. However, recent technical and on-chain developments suggest a potential turning point for the asset in 2026. As the market grapples with the question of whether SHIB can avoid a "zero removal" scenario-where its price collapses to negligible value-analysts are increasingly turning to technical recovery patterns and on-chain dynamics to assess its trajectory.

Technical Recovery: Support Levels and Bullish Momentum

SHIB's price action in late 2025 has drawn significant attention from traders and analysts. The token revisited the critical $0.0000060 weekly support level, a zone historically associated with strong demand. This level has acted as a psychological floor, with the price rebounding sharply after testing it multiple times. According to a report by Cryptorank, this behavior signals a potential breakout, particularly if the $0.0000079 support level continues to hold.

Technical indicators further reinforce a bullish bias. The SHIB/USD pair has on the daily chart, a continuation pattern often preceding upward momentum. The Moving Average Convergence Divergence (MACD) has also shown a bullish crossover, suggesting that buying pressure is intensifying. Additionally, the price surged to $0.00000862 by January 13, 2026, marking a 1.09% monthly gain and a 2.05% increase in 24-hour trading volume. These metrics indicate that SHIB is regaining traction, with a potential target of $0.0000096 if the bull flag pattern holds.

On-Chain Dynamics: Accumulation and Market Sentiment

Beyond technical indicators, on-chain data provides critical insights into SHIB's sustainability. One of the most compelling signals is to a multi-year low, with only 23.55% of the circulating supply held on exchanges. This reduction suggests that large holders-often institutional investors or whale wallets-are accumulating SHIB rather than selling. Historically, such behavior has preceded price breakouts; for instance, a similar drop in exchange supply occurred in May 2021, followed by a rally to $0.000075.

However, caution is warranted. currently stands at -23.47%, indicating that the market is not in a "risk-on" mode. This metric reflects the imbalance between long (profitable) and short (loss-making) positions, with negative values suggesting widespread underperformance. For SHIB to replicate its 2021 success, a significant shift in profitability and demand is necessary-a scenario that hinges on broader market conditions and renewed investor confidence.

Balancing Optimism and Caution

While the technical and on-chain indicators paint a cautiously optimistic picture, SHIB's path to zero removal avoidance is far from guaranteed. The token's survival will depend on its ability to sustain momentum above key support levels and convert on-chain accumulation into widespread retail adoption. Analysts at Coinbase note that the 24-hour trading volume of $102.01M as of January 13, 2026, reflects growing liquidity, but this must be paired with fundamental improvements in the Shiba Inu ecosystem, such as partnerships or use-case innovations.

Moreover, the broader crypto market's performance will play a pivotal role. SHIB, like many altcoins, is highly correlated with Bitcoin's price action. A bullish Bitcoin cycle in 2026 could amplify SHIB's recovery, while a bearish trend might reignite selling pressure.

Conclusion

Shiba Inu's potential for zero removal in 2026 appears to be diminishing, supported by a confluence of technical and on-chain signals. The defense of critical support levels, bullish chart patterns, and declining exchange balances all point to a possible reversal in the token's fortunes. However, the negative MVRV ratio and dependence on macroeconomic factors underscore the risks of over-optimism. For SHIB to achieve sustained recovery, it must not only maintain its technical strength but also demonstrate tangible value beyond its meme coin origins.

Investors should monitor key price levels and on-chain metrics closely in the coming months, as these will serve as leading indicators of SHIB's ability to avoid the abyss.