TLDR
- SHIB is currently trading around $0.0000129, falling below mid-range support
- Technical analyst Javon Marks predicts a 528% surge to $0.000081
- Exchange data shows tokens leaving exchanges since January, suggesting accumulation
- Long-term holders have steadily increased while short-term traders decreased by 36.5%
- Burn rate increased dramatically with over 313 million tokens burned in the past week
Shiba Inu, the popular memecoin, has been trading within a two-month range formation, with recent price action suggesting bears have gained dominance. The token slipped below the mid-range support level of $0.0000129, indicating potential further downside toward range lows.
Despite this bearish short-term outlook, technical analyst Javon Marks has made headlines with his prediction of a massive 528% price surge for SHIB. According to Marks, the cryptocurrency could reach $0.000081, driven by its technical setup and ongoing accumulation patterns.
The prediction follows SHIB’s rally to a seven-month high of $0.00003329 in December 2024, followed by a pullback to $0.0000108. Marks believes this correction was part of a normal technical structure setting the stage for substantial growth.
We maintain our $0.000081 breakout target for $SHIB (Shiba Inu), projecting a nearly +500% uphill run to reach it… https://t.co/8OdILFYB5q pic.twitter.com/jTxSAGqiWA
— JAVON⚡️MARKS (@JavonTM1) May 3, 2025
A key factor behind this bullish outlook is a hidden bullish divergence forming on SHIB’s chart. This pattern typically signals underlying market strength, even when short-term indicators show weakness.
Marks highlighted that such setups often lead to continuation of existing trends, especially when prices maintain higher lows while momentum indicators form lower lows.
On-Chain Data Shows Mixed Signals
On-chain data presents a complex picture of SHIB’s market conditions. The exchange net position change has remained negative since January, implying that more tokens have been leaving exchanges than entering them.
This negative exchange flow suggests reduced sell pressure and increased accumulation. In contrast, high coin flows to exchanges were observed in December, marking the rally’s top.
Funding rate data revealed that the past few days saw a rise in bearish sentiment, with rates dropping below zero. Open Interest has also declined since April 26, indicating weakening bullish conviction.
The active addresses metric surged in early May but activity has since decreased. Combined with exchange outflows, these sporadic spikes could point to accumulation rather than selling pressure.
Mean coin age has lacked a strong uptrend over the past month, unlike the January-March period when steady increases signaled network-wide accumulation.
The 30-day MVRV ratio has returned to negative territory, possibly signaling an end to selling pressure from short-term holders. This could provide SHIB with time for consolidation and accumulation.
Data from IntoTheBlock supports a positive long-term outlook. The number of long-term holders—those holding SHIB for over a year—has steadily increased since mid-2022 and continues to rise in 2025.
This growth in long-term holders contributes to market stability by reducing selling pressure. Simultaneously, short-term traders (those holding for less than a month) have decreased by 36.5%, suggesting SHIB is maturing as an asset.
Medium-term holders, or “cruisers” with holding periods of one to twelve months, have grown by 3.15%. This shift toward longer holding periods could further support price stability.
SHIB’s token burn activity has also increased significantly. According to Shibburn, 2,219,043 tokens were burned in 24 hours, marking a 278.42% increase. The weekly burn rate was even more impressive, with 313,950,965 tokens removed from circulation, reflecting a 324.14% increase.
The burn mechanism reduces SHIB’s supply, which combined with consistent demand, can drive prices higher. As more tokens are burned, SHIB becomes scarcer, potentially supporting its long-term value if demand remains steady or increases.
While SHIB’s price has experienced recent volatility with the failure of its $0.0000129 support level, the combination of technical patterns, growing long-term holder base, and accelerating token burns presents a compelling case for a potential recovery and possible upside.
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