Introduction:

In a surprising turn of events, Shiba Inu, known as the challenger to Dogecoin, has stirred speculation among global crypto traders and investors. Recent days witnessed a notable decrease in its price and weekly burn rate, sparking concerns across the cryptocurrency market. This decline raises questions about whether SHIB will break below its crucial support levels.

Shiba Inu's Rollercoaster Ride:

Shiba Inu, a cryptocurrency inspired by memes, caused excitement in the crypto world recently with its impressive price surge, aligning with the overall uptrend in meme coins. However, its recent drop below the $0.00003 mark puts it at risk of falling below the critical support level of $0.00002, painting a bearish picture for SHIB according to market dynamics.

Examining the SHIB Burn Rate:

Insights from Shibburn, the token's burn tracker, reveal that despite the community burning over 339 million tokens in the past week, SHIB's weekly burn rate decreased by 58.96%, mirroring its price drop of 7.60%. Despite continued significant burning of SHIB, the coin's price took a downward turn, contrasting with the burning activity.

Price Movement and Market Sentiment:

Currently, the price of Shiba Inu has dropped slightly by 0.06% in the last 24 hours, settling at $0.00002715. While there's a gradual upward trend in the charts, market dynamics fuel ongoing speculation. With a weekly drop of almost 7%, market data suggests further potential declines for SHIB. Derivatives data show a decrease in open interest and trading volume, indicating reduced market activity and new investment, contributing to the bearish outlook.

Conclusion:

Despite the Relative Strength Index (RSI) showing neutrality, the overall market sentiment remains bearish for Shiba Inu. As the market momentum weakens following a surge in meme coins, the possibility of further price declines looms, challenging SHIB's support levels and investor sentiment in the coming days.