Shiba Inu price attempts recovery after billions of SHIB burned in the last week

Shiba Inu (SHIB) is attempting a recovery as the SHIB army continues its daily burns that have become quite a game changer since the Shibarium testnet debuted in early March. With a steady burn sequence, the weekly amount of SHIB meme coins eliminated from circulation has reached billions. On the other hand, the dog-themed coin has been attempting to recover with a governing chart pattern that hints at the same.

Also Read: Shiba Inu price buzzes with excitement amid leaked SHIB burn portal on Shibarium

Notably, the SHIB army constitutes individual holders, businesses, and developers.

Shiba Inu price readies for a breakout after close to 3 billion SHIB burned

Shiba Inu (SHIB) price is coiling up for a breakout, with Shibburn tracking service reporting that 2,726,655,616 tokens were burned this past week. Based on a recent tweet, that number of SHIB accounts for almost 50% of what the SHIB army was able to send to dead-end wallets the week prior when they removed five billion tokens from circulation.

Over the last 24 hours, only 18,922,877 SHIB tokens were destroyed in five transactions, with the biggest two whiplashing 11,823,597 and 4,591,793 tokens, respectively. In the last week, 2,726,655,616 SHIB tokens were burned.

Notably, the destruction of this much SHIB has pushed the burn rate almost 23% down compared to what was burned on May 26.

Shibarium hits another watershed moment

Shibarium recorded another watershed moment earlier this week when the beta test version of the Layer-2 (L2) network Shibarium hit another huge milestone. Based on data by Puppyscan, the number of wallet users connected to Puppynet has breached the 16 million level to record 16,030,842 at the time of writing. With these numbers, cumulative transactions now approach 13 million at 12,837,402.

The impressive numbers are part of Shibarium creators' commitment to the community to "implement incredibly low fees and fast transactions on the Layer-2 network." Accordingly, the number of wallets joining then Shibarium beta continues to increase. 

Also Read: Shiba Inu likely to launch Shibarium layer-2 in July

Shiba Inu price could rally 10%

Shiba Inu (SHIB) price is trading with a bullish bias on the 12-hour timeframe as bulls push to escape above a downtrend line. The meme coin repelled the $0.00000831, advancing north toward the $0.00000885 resistance level. A decisive daily candlestick close above this level would solidify the uptrend because the dog-themed token would have escaped suppression under the descending trendline.

An increase in buying pressure above this hurdle could set Shiba Inu price on course to tag the 50-and 100-day Exponential Moving Averages (EMA) at $0.00000995 and $0.00001012 levels, respectively. In the highly bullish case, SHIB could tag the 200-day EMA at $0.00001074, denoting a 25% uptick from the current position.

The bullish outlook is backed by the Relative Strength Index (RSI), headed north and just about to cross the signal line (yellow band). This is often interpreted as a bullish signal asking traders to buy SHIB.

SHIB/USDT 12-hour chart

If seller momentum prevails, however, Shiba Inu price could drop below the $0.00000831 level. A decisive 12-hour candlestick close below this level would write off the bullish outlook.