Shiba Inu Hits $0.00001? Latest SHIB Price Prediction Analysis

According to Gate market data, as of November 21, Shiba Inu (SHIB) is priced at 0.0000078 USD, falling 9.8% in the last 24 hours, with a current circulating market capitalization of 4.616 billion USD, ranking 23rd in the overall market.

Despite the weak short-term performance, SHIB recently recorded an astonishing burn rate surge of 23,864%, while technical indicators show it is trying to stabilize in a key support area.

01 Price Status: Struggling at Low Levels with a Brief Glimmer of Hope

The recent price trend of SHIB has been a mix of joy and worry. As of November 21, the price of SHIB hovers around 0.0000078 USD, down about 75% from its historical high.

This price marks that SHIB has fallen below the important psychological mark of 0.00001 USD, entering a new trading range.

However, careful observers can identify some positive signals. On November 20, the price of SHIB rose by 1%, trading around 0.00000884 USD, indicating that even amid the overall downward trend, there is still buying interest.

This brief rebound is related to SHIB finding support around $0.00000837, a level that has been tested multiple times, showing a certain degree of resilience.

02 Burning Mechanism: Deflationary Feast and Realistic Constraints

In mid-November, an eye-catching event occurred on the SHIB network—its burn rate skyrocketed by 23,864% within 24 hours, with over 16.6 million SHIB permanently removed from circulation.

This astounding growth is primarily driven by a large transaction that involved the single destruction of 14.4 million SHIB.

Theoretically, token burning creates deflationary pressure by reducing the circulating supply, potentially increasing the value of each remaining token. However, for a token like SHIB, with a circulating supply of up to 589 trillion.

Although the burn rate is impressive in percentage terms, the actual number of tokens burned is still insignificant compared to the total supply, which explains why the direct impact of burn events on price is limited.

03 Technical Analysis: Key Levels and Possible Paths

From a technical perspective, SHIB is at a critical turning point. According to TradingView data, the trading price of SHIB is below the daily Bollinger Band midline (approximately 0.00000950 USD), and every attempt to climb to the upper band (approximately 0.00001044 USD) has failed.

The situation on the weekly chart is becoming more tense. SHIB has been stagnant below the middle line of the weekly chart (approximately $0.00001197) for several months, and the price is now just near the lower line of the weekly chart (approximately $0.00000843).

When an asset is so close to the lower bound without falling below it, it usually indicates market fatigue rather than a trend breakout.

Technical analysts point out that the RSI reading of SHIB is at 37.35, which is in the neutral zone, neither oversold nor overbought, while the MACD histogram shows that the bearish momentum may be weakening.

04 Market Prediction: Consensus Amid Discrepancies

Short-term Outlook

Analysts have differing opinions on the short-term trend of SHIB. AMB Crypto has set the most bullish short-term target, believing that SHIB could reach 0.00001 USD, while Changelly holds a more conservative view with a target set at 0.0000091 USD.

The key resistance level is at 0.00001 USD, which is a psychological resistance level and has historically served as a starting point for larger trends.

If SHIB can decisively break through this level, the next target may be at $0.000012, which aligns with Coinbase's long-term forecast.

risk factors

Downside risks cannot be ignored. If SHIB fails to hold the current support, it may test the 0.0000085 USD area, which is a key technical bottom.

If it falls below this level, it may trigger algorithmic selling, further probing 0.0000075 USD.

long-term forecast

Despite significant short-term volatility, some analysts are optimistic about the long-term prospects of SHIB. According to Gate's analysts' predictions, by 2030, the price of SHIB may range between $0.00006 and $0.0001.

More conservative predictions suggest that by 2032, the median price of SHIB could reach $0.000059.

05 Influencing Factors: Ecosystem Development and Institutional Interest

practicality and adoption rate improvement

The price outlook of SHIB depends not only on market sentiment but also on the ongoing development of its ecosystem. Recently, SHIB partnered with Bitget Wallet to launch the SHIB card, allowing users to earn rewards while spending cryptocurrency.

This initiative aims to enhance the utility and adoption rate of SHIB, marking an important step for memecoins to transition into assets with real use cases.

In addition, the activity on the Shibarium Layer 2 network is also increasing, with daily transactions rising from 1,850 to 2,720, and new contracts increasing from 4 to 16, indicating that developer activity is on the rise.

Institutional Interest

Another positive signal is that traditional investment giant T. Rowe Price, managing assets of over $1.6 trillion, has included SHIB in its proposed cryptocurrency ETF.

This move means that SHIB is gaining serious attention from institutional investors, potentially opening the door for institutional capital inflow.

06 Investment Strategy: Opportunities and Risks Coexist

For investors considering investing in SHIB, adopting a tiered entry strategy may be the most reasonable approach. Based on the current technical analysis, the main entry considerations should focus on the range of 0.0000088 to 0.0000092 USD, where multiple technical support levels converge.

Aggressive traders may consider establishing an initial position at current levels, with a stop-loss set below $0.0000085, which is expected to capture potential upside towards a target of $0.00001 while limiting downside risk to around 8-10%.

Conservative investors should wait for clearer signals, either a clear breakout above $0.00001 to confirm bullish momentum, or a test and hold of the $0.0000085 support level to establish an oversold entry point.

Considering the high volatility of SHIB, the position size should not exceed 2-3% of the total portfolio.

Future Outlook

Overall, Shiba Inu is at a technological crossroads. It may rebound from the current support level and attempt to hit the psychological barrier of 0.00001 dollars; it may also fall below support, dropping to 0.000008 dollars or even lower levels.

The next few weeks will be crucial for the mid-term trajectory of SHIB. If buyers can seize the initiative and push the price above key resistance, it may open up further upside potential.

However, if selling pressure continues to exist, a deeper adjustment may be faced.