SHIB burn rate has plunged 82% in the past week, raising questions about memecoin sentiment
Shiba Inu price hit a 13-month low of $0.0000098 on Monday, dropping below $0.00001 for the first time since February 2024
Whale investors have accumulated 874 billion SHIB tokens since Trump’s recent trade tariff announcement
Technical indicators show SHIB forming a bullish wedge as RSI approaches oversold territory
Nearly 90% of SHIB holders are currently at a loss while exchange outflows suggest quiet accumulation
Shiba Inu (SHIB) has experienced a sharp decline, dipping below the critical $0.00001 threshold for the first time since February 2024. The popular memecoin traded at $0.00001095 on April 10, reflecting a 2.23% decrease at the time of reporting.
The downturn marks a critical moment for SHIB, which maintained relatively stable price action through early 2025 before breaking key psychological support after a weekend of low trading volumes.
Market analysts connect the drop to growing macroeconomic pressures, particularly escalating trade tensions following former U.S. President Donald Trump’s announcement of new tariffs on Chinese imports last Wednesday.
After Trump ruled out a diplomatic resolution, SHIB price plunged toward $0.000010 on Monday, its lowest point in 13 months.
The price briefly rebounded 4% to reclaim $0.000014, positioning above the Volume Weighted Average Price for the day.
This movement suggests that after an initial sell-off, SHIB attracted a cluster of buy orders as trading progressed.
Whale Accumulation Signals Potential Optimism
Despite the price decline, large-scale investors – commonly referred to as crypto whales – have taken advantage of the dip. On-chain data reveals whales have made more SHIB purchases than sell-offs in recent days.
IntoTheBlock Large Holder Netflow, which tracks daily net changes in wallets holding at least 0.1% of total SHIB supply, shows these wallets collectively purchased over 874 billion tokens between April 2 and April 6.
This accumulation began shortly after Trump’s sweeping tariff announcement on April 2, suggesting whales view the current geopolitical unrest as a buying opportunity.
At current prices, the 874 billion SHIB whale purchase is valued at approximately $10.4 million.
Exchange netflow registered at -156.65 billion SHIB, indicating a 3.2% net outflow. This means more tokens are moving out of exchanges than into them, which typically suggests accumulation patterns.
Technical Indicators Paint Mixed Picture
SHIB recently bounced from a key accumulation zone between $0.00001035 and $0.00001393, where demand has consistently supported price action.
After months inside a falling wedge, the breakout shows early signs of bullish momentum.
The RSI was 34.90 at press time, indicating that SHIB traded near oversold territory, a region often associated with potential rebounds.
However, bulls must reclaim the $0.00001393 resistance to confirm this shift. Failure to do so may result in a retest of the $0.00001035 support, with a possible slide toward $0.00000800 if buyers lose control.
The Chande Kroll Stop has flipped below current price, suggesting minimal short-term selling pressure. However, the resistance ceiling at $0.000015 remains a challenge.
Burn Rate Slowdown Raises Questions
Over the last seven days, the Shiba Inu burn rate has plunged by 82%, marking one of the sharpest weekly slowdowns in the project’s recent history.
This drop in token burns has triggered speculation over whether the memecoin’s momentum is fading or merely taking a temporary pause.
While this may appear concerning on the surface, on-chain trends suggest SHIB might still be positioning for a future move.
According to the In/Out of the Money chart, 89.95% of holders were at a loss at press time, while only 9.37% remained in profit.
The largest concentration of addresses sits slightly above current price, meaning any upward movement will likely face selling pressure as investors exit at breakeven levels.
Only 0.67% of SHIB holders were at the money, demonstrating that current entries remain risky without a clear bullish catalyst.
At the time of writing, SHIB saw $305.51K in long liquidations compared to $85.73K in short liquidations. Although longs took a bigger hit, shorts are starting to get squeezed, suggesting bears aren’t fully in control.
Any surge in price could potentially trigger a short squeeze. The continued presence of long interest indicates some traders are already betting on a recovery.
Shiba Inu’s price structure, whale accumulation patterns, and technical signals show signs of preparation rather than retreat, suggesting the memecoin may be consolidating rather than losing momentum completely.
Despite the drop in burn rate, the market remains active and responsive, with the next moves likely dependent on broader market conditions and whether key support levels can hold.
This articles is written by : Nermeen Nabil Khear Abdelmalak
All rights reserved to : USAGOLDMIES . www.usagoldmines.com
You can Enjoy surfing our website categories and read more content in many fields you may like .
Why USAGoldMines ?
USAGoldMines is a comprehensive website offering the latest in financial, crypto, and technical news. With specialized sections for each category, it provides readers with up-to-date market insights, investment trends, and technological advancements, making it a valuable resource for investors and enthusiasts in the fast-paced financial world.
By Nermeen Nabil Khear 
