SHIB Faces New Lows After Burn Surge Fails to Halt Bears
SHIB continues to trade under pressure, sliding over 60% since its November peak and 27% below year-to-date highs. Technical analysis shows SHIB below both 50- and 100-day EMAs, forming a bearish flag and head-and-shoulders pattern that risks a breakdown below key supports at $0.00001070 and $0.00001027, with potential to test $0.0000090. On-chain metrics paint a weak picture: burn rate swung from a 72% drop to a 1,550% surge hitting 3.77 million tokens, yet supply reduction failed to spark demand. Shibarium TVL tumbled to $1.69 million, trading volume lags at $222 million compared with Dogecoin, and futures open interest and whale holdings both wane. This convergence of bearish signals and poor market sentiment suggests limited near-term upside and continued downside risk for SHIB.
Bearish
Multiple technical indicators and deteriorating on-chain metrics point to sustained bearish pressure on SHIB. The breach of key EMAs and bearish chart patterns increase the probability of further price declines in the short term. Meanwhile, fluctuating burn rates have failed to stimulate demand, and declines in Shibarium TVL, trading volume, and whale activity reflect weak market sentiment. These factors suggest limited near-term upside and reinforce a bearish outlook, though long-term recovery could hinge on renewed network growth or significant market catalysts.