SHIB Surges 10% in a Day – Here’s What’s Fueling the Rally!

SHIB has finally snapped out of its prolonged downtrend, driven by a sharp increase in its burn rate and renewed investor enthusiasm surrounding fresh advancements within its ecosystem.

Shiba Inu (SHIB) surged 10% on March 26, reaching an intraday peak of $0.00001485. With a market capitalization of $8.6 billion, SHIB outpaced major competitors like Sui (SUI) and Hedera (HBAR), securing its position as the 19th largest cryptocurrency, according to CoinGecko data.

Three Key Drivers Behind SHIB’s Surge Today

Shiba Inu (SHIB) is gaining momentum, and three major factors are fueling its rally.

1. The Tease of Shib Finance
The Shiba Inu team has hinted at the launch of Shib Finance, a groundbreaking DeFi upgrade. This platform will introduce advanced financial tools like reputation-based lending and undercollateralized borrowing. By integrating TradFi and DeFi, it will feature innovations such as the Karma Engine, Shib Attestation, and a privacy-centric identity layer.

2. New Exchange Listing on BingX Futures

SHIB’s exposure has expanded with its recent listing on BingX Futures, allowing over 10 million global traders to access the token with leverage. This move enhances liquidity and attracts more market participants.

3. Explosive Burn Rate Surge

SHIB’s deflationary mechanism is in full swing. On March 23, the token’s daily burn rate skyrocketed by nearly 8,100%, with over 1 billion SHIB removed from circulation in a single day. Since its inception, the Shibburn tracker reports that over 410.74 trillion SHIB have been burned, leaving a circulating supply of approximately 589 trillion tokens.

With these catalysts in play, SHIB’s bullish momentum could be far from over.

SHIB’s On-Chain Metrics Signal Growing Bullish Momentum

On-chain data suggests that SHIB’s bullish sentiment is on the rise. According to Santiment data, daily active addresses on the network have surged by over 20% since March 18, indicating increased user engagement and transaction activity.

At the same time, social sentiment surrounding SHIB has turned positive. A major catalyst behind this shift was a recent Truth Social post by U.S. President Donald Trump, which reignited interest in meme coins—particularly after he acknowledged the official Trump-themed token, TRUMP.

SHIB Price Analysis: Bullish Signals Strengthen

SHIB’s price action is flashing bullish signals after breaking out of a four-month-long falling wedge pattern, a classic setup that often precedes a trend reversal. This breakout suggests that SHIB could be gearing up for a significant upward move.

Key Technical Breakout & Targets

• 20% Upside Potential: SHIB recently completed an inverse head-and-shoulders pattern, reinforcing the bullish outlook. According to pseudonymous trader Satori, this breakout establishes a strong bottoming structure, paving the way for further gains if buying volume remains strong.
  
• Moving Averages & Support Levels: The price has moved above the 25-day and 50-day moving averages, marking its first signs of reversal since February’s downtrend. SHIB recently found solid support at $0.0000123 and is now aiming for the 75-day EMA at $0.00001575.
  
• Money Flow Index (MFI): The MFI is rising but hasn’t yet entered the overbought zone, indicating that buying pressure is outpacing selling pressure. If this momentum holds, SHIB could see further price appreciation.

Derivatives Market Strengthens Bullish Momentum

The open interest (OI) in SHIB futures has surged by over 26% to $160 million, suggesting an influx of capital into the market. Additionally, its OI-weighted funding rate has turned positive, a sign that traders are willing to pay a premium to hold long positions.

Next Target: $0.00002485?

With strong technical and derivative indicators supporting the uptrend, SHIB’s next major target appears to be $0.00002485