Shiba Inu burns rise, but this is why SHIB remains below crucial levels

• SHIB has been unable to break key resistance levels.
• At press time, the token remained in a downtrend.

Since Shiba Inu [SHIB] launched its Shibarium burn portal, there has been no notable increase in SHIB burns recorded through the platform.

However, SHIB burns have continued through other channels, with a recent spike in the overall burn rate. But despite this, SHIB’s price has remained below key levels.

Shiba Inu burn portal stalls

A few weeks ago, Shiba Inu announced the launch of Shib Torch, a portal designed for SHIB burns. Upon its initial launch, over 3.2 million SHIB tokens were reportedly burned.

However, since then, the activity on the Shib Torch portal has stalled, with no additional burns recorded.

This stagnation has raised questions within the Shiba Inu community regarding the portal’s functionality.

Concerns have emerged about whether the portal is accurately tracking SHIB burns, or if any burns are taking place through it. 

Shiba Inu burns continue

Analysis of data from Shibburn reveals that the Shiba Inu token burns have continued, contradicting the inactivity observed on the Shib Torch portal.

This suggests that either the new portal is not being utilized or it is not accurately reflecting the burns occurring.

Data from Shibburn showed a significant increase in SHIB burns, with the burn rate spiking by over 400% in the last 24 hours. In that time, more than 14.2 million SHIB tokens have been burned.

Over the past seven days, more than 312.6 million SHIB tokens have been burned, representing an 80% increase in the burn rate.

This indicates that despite the questions surrounding the Shib Torch portal, the overall burn activity for Shiba Inu tokens remains strong.

However, the disconnect between the portal and the actual burn data raises concerns about the portal’s functionality and its ability to provide real-time tracking of SHIB burns.

The increased burn rate is a positive sign for reducing the token’s supply.

SHIB remains below key levels

Since June, Shiba Inu [SHIB] consistently traded below its long-moving average (yellow line), which has acted as a strong resistance level. Also, SHIB has fluctuated between gains and losses over the past few days.

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On the 4th of September, it saw an increase of almost 4%, only to lose over 3% in the following trading session. As of this writing, SHIB is trading around $0.00001318, continuing the volatility pattern.

Source: TradingView

The long-moving average has also functioned as a trend line, highlighting SHIB’s persistent downtrend. The price’s inability to break above this resistance suggests ongoing bearish momentum.