SHIB Price Analysis: Shiba Inu Gains 4% as Price Tests Key Resistance Level

Shiba Inu (SHIB) gained 4.1% over the past 24 hours, boosted by a sharp rise in its token burn rate. The price briefly surged during early trading, suggesting growing buying interest and renewed optimism among traders.

SHIB Price Climbs Amid Burn Rate Surge

Shiba Inu’s price rose 4.1% over the past 24 hours, reaching $0.00008893 during early trading hours before slightly pulling back. According to CoinMarketCap data, the price increase aligned with a 790% jump in the SHIB token burn rate, an on-chain metric that removes tokens from circulation to reduce supply.

The rapid spike in SHIB’s burn rate appears to have caught investor attention, contributing to increased trading activity. Burn rates are often watched closely by traders because they may indicate future supply tightening.

Resistance at 700 Level Becomes Key Watchpoint

Technical analysis shared by analyst CryptoTony shows that SHIB is testing a resistance level near the 700 mark. This level is now being monitored as the price attempts to establish a new support or face another rejection.

The chart suggests that the price has bounced from recent lows and is now consolidating under resistance. A clean breakout above this level may open up further gains, while failure could trigger short-term downside pressure.

Bulls Show Strength as Trading Range Narrows

Meanwhile, according to army_shiba, SHIB has been trading within a narrow range between $0.00000871 and $0.00000872. This consolidation typically reflects a buildup of momentum, often followed by stronger directional moves.

While the current move is modest, the tightening of the trading range and increased buying interest may support the case for a breakout. The SHIB community, known as the ShibArmy, remains alert to market developments and continues to monitor changes in burn metrics and price levels closely.

With technical patterns forming and on-chain metrics shifting, the coming days will be crucial for the token’s next move.