3 Bullish Signs for the Shiba Inu (SHIB) Price to Watch

3 Bullish Indicators for Shiba Inu (SHIB)

In recent weeks, metrics related to Shibarium have surged, and SHIB's burn rate has experienced a significant increase. While a shift away from self-custody methods towards exchanges may indicate a bearish trend, the overall outlook for the meme coin remains positive.

Positive Factors for SHIB Bulls

SHIB, the second-largest meme coin, has performed well in the past month, rising by 30%. Despite a slight decline today, several indicators suggest a potential continuation of the rally.

1. Shibarium Revival

Shiba Inu's layer-2 scaling solution, Shibarium, has regained momentum. Daily transactions have reached impressive levels, exceeding 300,000 in recent days. Active accounts and other metrics related to Shibarium have also seen an upswing, indicating increased user engagement and adoption.

2. SHIB Burn Rate

The SHIB burn mechanism has accelerated, with token destruction rising by nearly 400% in the past 24 hours. Over 6.3 million tokens have been burned, reducing the circulating supply and potentially increasing the value of those remaining.

3. Meme Coin Sector Strength

The meme coin sector has experienced growth recently, with Dogecoin (DOGE) gaining almost 30% weekly. Other meme coins, such as Bonk Inu (BONK) and Floki Inu (FLOKI), have also seen notable increases.

Cautionary Note

Despite the bullish signals, an indicator of potential downside is the positive SHIB exchange netflow. According to CryptoQuant, investors may be moving away from self-custody methods towards exchanges, which could increase immediate selling pressure.