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Akash Girimath
FXStreet
Shiba Inu price shows that the bulls are back in town, however, a confirmation is still required before a green light can be given. A retest of the immediate barrier will provide SHIB with the required validation and further trigger a minor uptrend.
While technicals provide one half of the picture, adding fundamentals completes the analysis. For Shiba Inu, the developers seem to be keeping their heads down and working on major upgrades and additions to the meme coin ecosystem like ShibaSwap, ShibaBurn and SHIB: The Metaverse. All positive developments.
Launched in July 2021, ShibaSwap is a decentralized exchange (DEX) built on the Ethereum blockchain using the ERC-20 standard. Like many other decentralized platforms in the game, Shiba’s native DEX will allow investors to swap tokens, and provide liquidity to liquidity pools.
Wen swap…. #ShibaSwap is now live! https://t.co/h2JK14m1PD #ShibArmy
However, unlike Uniswap, SushiSwap or other DEXs, ShibaSwap allows its users to stake their tokens, participate in governance and trade on its NFT marketplace known as Shiboshis.
The main constituents of this exchange include – SHIB, BONE and LEASH. While SHIB is a native token, BONE can be used as a governance token while LEASH, a play on algorithmic stablecoins, was going to be used to track Dogecoin’s price at a /1,000 rate. However, this mechanism has since stopped and the tokens are now unleashed and have a total supply of only 107,647.
ShibaBurn capability was launched on April 24, when SHIB’s market value was down 77% from its all-time high of $0.0000885. The portal was launched to allow holders to “generate passive income.”
We are excited to announce the launch of the SHIB burn portal.
Burn $SHIB to generate passive income!https://t.co/jSnPG8B3x7 pic.twitter.com/E2ZYxEyP16
The concept of burning in the crypto ecosystem indicates reducing the effective supply of tokens in circulation. This is done by sending the tokens to a predetermined wallet by the underlying project and its developers which will not allow users to retrieve the burned tokens.
Since its inception, 410 trillion SHIB have been burned, reducing the total supply of Shiba Inu tokens by 41%. Therefore, a reduction in the supply causes a negative supply shock ie., when the supply is reduced but the demand remains the same or increases. Such a development will have positive effects on the underlying asset.
Shibburn.com
Typically, projects burn their funds trying to keep up with declining prices and user sentiment in the bear market. Some developers continue working on their ecosystems and very few come out of the crypto winter.
Despite SHIB’s fall from grace over the past months, there have been massive developments in the Shiba Inu ecosystem on multiple fronts. Hence, investors should expect the market value of the meme coin to reflect the same very soon.
Interestingly, technicals are already showing bullish signs that could be the start of a quick run-up.
The latest addition to the ShibaBurn and ShibaSwap features is SHIB: The Metaverse, which is a play on the ongoing fad for the crypto ecosystem to be interconnected with Web3. Like many Web3 or Metaverse-focused projects, Shib’s Metaverse plans include selling virtual land or plots.
The entire metaverse can be split into four districts – Growth District, Defense District, Technology District and Currencies District. These districts further have segregations from Tier 1 through 4, with the former being the most “rarest” and by extension the most expensive.
After minting their lands using their SHIB tokens, investors can add logos, rename plots, and lease them, all of which will leverage the native altcoin and even burn it. The developers have further plans to integrate LEASH and BONE as the metaverse receives updates.
Shiba Inu price created a range, extending from $0.0000114 to $0.0000143 as it rallied 35% between May 12 and 13. This run-up faced a sell-off and swept the range low to retest the $0.0000106 support level.
Since then, SHIB has recovered into the said range and is aiming to continue this trend. Interested investors can wait for Shiba Inu price to retrace and retest the range low before triggering a 25% move to retest the $0.0000143 hurdle.
While this move is impressive, this is not where SHIB will stop its journey, since the bulls are aiming for the $0.0000201 barrier, which was significant support for Shiba Inu price between January 22 and May 6.
In total, this move would constitute a 75% gain and is likely where the upside is capped for the meme coin.
SHIB/USDT 4-hour chart
On the other hand, if Shiba Inu price fails to bounce off the range low at $0.0000114, it will indicate buying weakness. If this move breaks down the subsequent support level at $0.0000106 it will create a lower low and invalidate the bullish thesis.
Such a development will open the path for bears to tank Shiba Inu price to $0.0000089.
In the following video, FXStreet analysts evaluate Bitcoin price action to determine where it will go next and whether altcoins will move in the same direction:
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Bitcoin price shows a confluence of bearish developments that suggests an incoming downtrend. This development could halt the bullish outlook seen in Ethereum and other related altcoins. Bitcoin price is in a classic Wyckoff Distribution Phase.
Chainlink price shows an interesting setup that could result in a steep correction and an eventual undoing of the gains. While the former scenario is plausible, the latter is a worst-case outlook and has relatively less chance of manifesting.
Enjin coin price could become a crypto outperformer in the next bullrun. Key levels have been identified. The Enjin token, an Ethereum based gaming token witnessed a 14,000% rise between March 2020 lows at $0.03 and the 2021 highs at $4.85.
Shiba Inu price tags the intended $0.00001550 target. Shiba Inu price has recently rallied an impressive 35% in just one day. Throughout the summer, the outlook has been maintained at a short-term bullish stance with targets in the $0.00001400 -0.00001550 area.
Bitcoin price shows an interesting setup that could reveal its next move. On closer inspection, its technicals support a bearish outlook for the leading crypto.
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