After enduring a lengthy period of price stagnation, Shiba Inu (SHIB) is showing promising signs that it could finally break free from its multi-year consolidation phase. The meme coin’s price has surged by around 6% in just 24 hours, reaching a fresh weekly high near $0.000015, amid whale buying activity that saw over 530 trillion SHIB tokens amassed in recent months. With the token burning accelerating and circulating supply dwindling on exchanges, the stage seems set for a potential breakout that many investors have been eagerly anticipating.
Four Years of Consolidation: A Calm Before the Storm?
Since mid-2021, Shiba Inu has been confined within a relatively tight trading range, fluctuating between roughly $0.000005 and $0.000037. This period followed the explosive rally in early 2021, fueled in large part by a staggering 400 trillion SHIB burn executed by Ethereum co-founder Vitalik Buterin, which dramatically cut supply and grabbed widespread attention.
For years, SHIB’s price action resembled a slow simmer rather than a boiling pot, leading many to wonder if the meme coin’s heyday had passed. However, recent momentum points to a shifting tide. In 2024, SHIB managed to break through a key resistance level at $0.000014, attempting to transform that barrier into a solid support base. If Shiba Inu manages to push beyond the next crucial hurdle—the 50-day moving average at around $0.0000182—it could open the door toward the $0.000037 resistance, signaling a possible end to this four-year consolidation.
A successful move above $0.000037 could usher in a new wave of optimism, potentially propelling SHIB toward a lofty new target near $0.00025—levels not seen since the token’s dramatic rise. The excitement surrounding this scenario is further amplified by the sheer volume of SHIB whales quietly stacking tokens, possibly anticipating exactly this kind of breakout.
Whales Are on the Move: 530 Trillion SHIB Accumulated
According to blockchain analytics from Santiment, Shiba Inu whales have collectively acquired an eye-watering 530 trillion SHIB tokens since the start of 2025. This colossal accumulation is notable because it reduces the amount of SHIB available on exchanges, which has dropped by approximately 5 trillion tokens recently, leaving about 141 trillion SHIB tokens accessible for trading.
Why does this matter? Historical context reveals that the 2021 Shiba Inu bull run, which resulted in an astronomical 27 million percent price increase, was triggered in part by a significant supply shock caused by Vitalik’s token burn. The current pattern of large-scale accumulation by whales, coupled with the shrinking supply on exchanges, suggests a similar supply squeeze could be forming—often a precursor to strong upward price movement.
Burn Rate Accelerates: Another Bullish Signal
Adding to the bullish momentum is the sharp rise in Shiba Inu’s burn rate. Over the past 24 hours alone, more than 13 million SHIB tokens were burned, permanently removing them from circulation. This data from Shibburn highlights an intensifying effort by the community and token holders to reduce the circulating supply and increase scarcity.
Historically, spikes in token burns have correlated with significant price rallies for SHIB, reinforcing the idea that these deflationary mechanisms are effective in creating upward pressure on the token’s value. If the current burn rate continues or accelerates, it could contribute to a tightening supply-demand dynamic favorable to bullish price action.
Potential Risks and Market Dynamics
While the outlook appears positive, investors should keep an eye on broader market conditions, especially Bitcoin’s price movements and dominance. A rising BTC dominance often pulls altcoins into a prolonged consolidation or even a downturn as capital flows back to Bitcoin. If Bitcoin’s dominance grows significantly, it could temper the enthusiasm around SHIB and extend its current range-bound state.
Still, with a strong buildup of whale interest, decreasing supply on exchanges, and an accelerating burn rate, Shiba Inu is poised for a potentially explosive move once the market dynamics align.
Final Thoughts
Shiba Inu’s recent whale accumulation and burning activity paint an encouraging picture for investors hoping for a breakout after years of sideways trading. Should the token break through key resistance levels and maintain bullish momentum, SHIB could be gearing up for one of the most significant rallies since its inception. As always, market participants should remain cautious but optimistic as they watch how this intriguing crypto story unfolds.
