Shiba Inu Coin at Crossroads: Record Burns vs June Slump History
2025-06-02 09:05:10Shiba Inu at a Crossroads: Record Token Burns Collide With Historical June Slump
A Meme Coin Defying Expectations—Or Bracing for Another Drop?
Shiba Inu (SHIB), the self-proclaimed "Dogecoin killer," is making headlines again—but for conflicting reasons. On one hand, its token burn rate has skyrocketed by 5,223% in 24 hours, with 21.3 million SHIB permanently removed from circulation. On the other, SHIB has entered June—a month where it has never posted positive returns since its 2020 launch. With the coin currently trading at $0.00001281 (up 1.74% in 24 hours but down 14% monthly), investors are left wondering: Is this the calm before a breakout or a prelude to another historic slump?
The Burn Effect: Scarcity Play or Short-Term Hype?
Shiba Inu’s community-driven token burns have reached unprecedented levels. Data from Shibburn reveals that over 148.5 million SHIB were incinerated in the past week alone, a 25.31% weekly surge. These burns aim to reduce SHIB’s colossal 589 trillion circulating supply, theoretically increasing scarcity and long-term value.
Yet, the price response has been muted. Despite the burn frenzy, SHIB remains 40% down in Q1 2025 and struggles below key resistance levels. Analysts point to broader market headwinds: Bitcoin’s dominance at 63% has suppressed altcoins, while meme coin rivals like Pepe and Dogecoin outperform SHIB in trading volume ($700M and $2.6B vs. SHIB’s $290M).
June’s Curse: A Repeating Nightmare for SHIB Holders
Historical data paints a grim picture. Since 2021, SHIB has consistently bled in June:
2024: -32.3%
2023: -11.5%
2022: -12%
2021: -4.75% (even during its bull run).
This year, SHIB opened June at $0.00001264, already down 1.33%, with technical indicators flashing warnings. The death cross (50-day MA below 200-day MA) and failed rebounds at $0.00001342 resistance suggest further downside. If $0.000012 support breaks, analysts warn of a plunge toward $0.00000850.
Ecosystem Developments: A Silver Lining?
Amid the gloom, Shiba Inu’s team is pushing utility upgrades:
ShibDAO Launch: The decentralized governance platform went live on May 29, empowering community voting via staking.
Shibarium Growth: The Layer-2 network’s TVL rose 24% in March, with ShibaSwap up 37%.
AI & "Final Whitepaper": Lead developer Shytoshi Kusama returned to X, teasing AI integration and a roadmap revamp.
However, skepticism remains. "Shibarium’s adoption is still nascent," notes Oliver Dale of CoinCentral. "Investors are shifting to projects like Remittix (RTX), which offers real-world payment utility".
Expert Outlook: Caution Overrides Optimism
Market sentiment is divided:
Bull Case: Analysts at Changelly predict SHIB could hit $0.000626 by 2034, citing burns and ecosystem growth.
Bear Case: Traders highlight whale exits (holdings dropped from 100B to 96B SHIB in May) and low volatility as red flags.
"The key is Bitcoin’s trajectory," says Ali Charts. "If BTC falls below $60K, meme coins like SHIB will bleed harder".
The Bottom Line: A High-Stakes Waiting Game
Shiba Inu’s fate hinges on two battles:
Community Burns vs. Market Realities: Can scarcity efforts override June’s historical drag?
Utility vs. Meme Status: Will Shibarium and ShibDAO attract enough developers to shed its meme coin reputation?
For now, the charts favor bears—but as SHIB’s 2021 rally proved, underestimating the "Shib Army" can be costly.
Share your thoughts on our X: Will SHIB break its June curse or succumb to history?
Disclaimer: The information provided in this section is for reference only and does not represent any investment advice or the official views of FameEX.
Sources:
U.Today: "Shiba Inu Skyrockets 5,223% in Burns as Millions of SHIB Vanish"
U.Today: "Shiba Inu (SHIB) Enters Its Worst Month: What Price History Says Happens Next"
CoinCentral: "Shiba Inu Price Prediction: SHIB Burn Rate and TVL Skyrocket But Investors Are Buying This Coin Instead"
FXStreet: "Dogecoin, Shiba Inu and Pepe Meme Coins Signal Fading Bullish Momentum"
Benzinga: "Fartcoin Outgains Dogecoin, Shiba Inu Sunday Night: What's Going On"