Shiba Inu (SHIB) Primed for Upswing? Bullish Technical Analysis Meets Exploding Burn Rate

Shiba Inu (SHIB), the popular meme cryptocurrency, is once again capturing the attention of traders and investors following a bullish prediction from a prominent market analyst. ALLINCRYPTO recently highlighted a significant falling wedge pattern forming on Shiba Inu’s price chart, suggesting that a substantial upward price movement could be on the horizon. This technical analysis, coupled with a recent dramatic surge in the SHIB burn rate, has fueled renewed optimism within the Shiba Inu community and the broader crypto market.  

Bullish Falling Wedge Pattern Signals Potential Trend Reversal

According to analyst ALLINCRYPTO’s analysis shared on X (formerly Twitter) on April 23rd, the formation of a falling wedge pattern on Shiba Inu’s longer-term price chart indicates that “upside is expected.” This pattern is a well-regarded bullish indicator in technical analysis, typically signaling a potential reversal from a downtrend to an uptrend. The falling wedge is characterized by two downward-sloping trend lines that converge, with the upper line representing key resistance levels and the lower line indicating support.  

Shiba Inu $SHIB Upside expected, falling wedge likely resulting in the pullback being reversed ⏰ pic.twitter.com/4iT6Kpvq9V

— ALLINCRYPTO (@RealAllinCrypto) April 23, 2025

ALLINCRYPTO pointed out that Shiba Inu’s price has been in a pullback phase since December of the previous year, extending into April. However, within this period, the meme coin has also carved out the falling wedge pattern. Based on this observation, the analyst anticipates a trend reversal, injecting bullish sentiment into a market that has already witnessed a broader positive momentum. Over the past week, the price of Shiba Inu has already shown positive movement, gaining over 11% and currently trading around $0.00001320.

Soaring SHIB Burn Rate Adds Fuel to Bullish Outlook

Adding to the positive sentiment surrounding Shiba Inu is a remarkable 1300% surge in its burn rate within the last 24 hours. Data from the tracker Shibburn revealed that a substantial 27.82 million SHIB tokens were removed from circulation during this period, resulting in a 1361% increase in the intraday burn rate. This significant reduction in the circulating supply of Shiba Inu is generally considered a bullish factor, as it potentially increases the scarcity and value of the remaining tokens.  

Also Read: Shiba Inu Whales Spark Speculation with 95% Transaction Spike

Furthermore, analysis from CoinGape’s SHIB price prediction suggests that bulls currently dominate the meme coin, according to their 3-month bias indicator. Their prediction indicates that Shiba Inu’s price could potentially reach as high as $0.0000141 by the end of April.

Supporting this bullish outlook, data from Coinglass shows a recent jump in Shiba Inu’s futures open interest (OI), reaching $162.85 million. This increase in OI suggests growing market interest and further strengthens the possibility of a price rally.

Disclaimer: The information in this article is for general purposes only and does not constitute financial advice. The author’s views are personal and may not reflect the views of Chain Affairs. Before making any investment decisions, you should always conduct your own research. Chain Affairs is not responsible for any financial losses.