Shiba Inu (SHIB) has increased to $0.000014 following a 4.5% rise in the past 24 hours, accompanied by a significant spike in its burn rate of 1088%. This method reduces the circulating supply of SHIB tokens by sending them to a dead wallet.
Although the burn rate theoretically should boost SHIB's value by reducing supply, an increase in demand is also necessary for a significant price rise. As of now, nearly 100,000 tokens have been burned, totaling 410.72 trillion since its inception.
Recent signs indicate an increasing demand for SHIB, which, combined with the rising burn rate, could drive up the token's value further. The cryptocurrency's Sharpe ratio, used to measure risk-adjusted returns, has shown improvement, suggesting more favorable conditions for investors.
The current Sharpe ratio of -3.87 reflects a possible path to better profitability, compared to -5.43 just a week earlier. Furthermore, SHIB is trading within an ascending channel on the 4-hour chart, a bullish pattern that could see further price increases if sustained.
The Moving Average Convergence Divergence (MACD) indicator for SHIB is also positive, with the 12-period EMA crossing above the 26-period EMA, indicating dominant buying interest. This supports the bullish outlook for SHIB.
