Cryptonews Industry Talk

Shiba Inu Price Prediction: SHIB Burn Collapses, Whales Flee – What Comes Next?

Price Prediction SHIB Technical Analysis

Shiba Inu is not carrying its weight as the second-largest meme coin, risking a deeper decline as traders look elsewhere for opportunity.

Junior Content Creator

Harvey Hunter

Junior Content Creator

Harvey Hunter

About Author

Harvey Hunter is a Junior Content Creator at Cryptonews.com. With a background in Computer Science, IT, and Mathematics, he seamlessly transitioned from tech geek to crypto journalist.

Author Profile

Last updated:

June 6, 2025

Why Trust Cryptonews

Cryptonews has covered the cryptocurrency industry topics since 2017, aiming to provide informative insights to our readers. Our journalists and analysts have extensive experience in market analysis and blockchain technologies. We strive to maintain high editorial standards, focusing on factual accuracy and balanced reporting across all areas - from cryptocurrencies and blockchain projects to industry events, products, and technological developments. Our ongoing presence in the industry reflects our commitment to delivering relevant information in the evolving world of digital assets. Read more about Cryptonews

Disclaimer: Crypto is a high-risk asset class. This article is provided for informational purposes and does not constitute investment advice. You could lose all of your capital.

Shiba Inu Price Prediction: SHIB Burn Collapses, Whales Flee – What Comes Next?

Declining ecosystem utility, diminished deflationary power, and whale dumps are dragging SHIB toward a potential breakdown, dimming the near-term Shiba Inu price outlook.

Shiba Inu activity is weak for a podium-tier meme coin. With a 24-hour trading volume 80% lower than runner-up Pepe, it appears sidelined from the “best crypto to buy” conversation.

While risk assets have broadly softened amid U.S. trade uncertainty and a cooling labor market, SHIB appears especially vulnerable—underscoring underlying weakness.

Whales Dump as Fundamentals Point Bearish

With weak on-chain activity, SHIB’s spot price continues to face mounting pressure as its deflationary mechanics deteriorate.

Shibburn data shows that the daily SHIB burn rate has dropped 24% to just 13.85 million tokens—worth only $178 at current prices, a tiny amount compared ot its $7 billion market cap.

Meanwhile, both investors and developers are opting out of the ecosystem. DeFiLlama reports total value locked on the Shibarium Layer-2 has plunged 33% year-to-date at just $2.27 million.

With this fundamental weakness, there is capitulation among Shiba Inu’s largest backers. Whales now hold 730 trillion SHIB tokens, down from 743.8 trillion in early February, according to Santiment data.

Shiba Inu supply held by whales. Source: Santiment.

This kind of sustained long-term trend of whale dumping typically worsens sentiment among retail investors, reinforcing the downtrend.

Shiba Inu Price Analysis: What Comes Next?

Shiba Inu finds itself at a key inflection point as it retests the lower support of the bear flag, a sign that the recovery since the mid-April market bottom could give way to a continuation.

SHIB / USDT 3-day chart, bear flag pattern. Source: TradingView, Binance.

While this formation is not always damning, momentum indicators lend to a breakdown. The RSI continues to trend deeper into bearish territory, a sign that sellers overwhelm buyers.

the MACD is on the verge of a death cross, with the MACD line nearing a fall below the signal line. On the 3-day timeframe, this often suggests a longer-term downtrend taking root.

The event of a breakout could open the doors to a steep 53% decline, projecting a $0.0000058 target in line with he 1.618 Fibonacci extension level as support.

Still, the $0.00001 region marks a historically strong support zone and could prove pivotal in determining whether the bear flag pattern plays out in full.

Late SHIB Holders Could Be Exit Liquidity – Here’s a Better Strategy

When it comes to large meme coins like SHIB, timing is everything. Those who entered late from the mid-April market bottom may be left holding the bag as exit liquidity if a breakdown unfolds.

A coin of its scale makes the chance of a 10–100x return is slim to none. Meanwhile, newer meme coins making the rounds like Moonpig are posting 7x gains in a single month.

That’s where Snorter ($SNORT) steps in. Its purpose-built trading bot is engineered to spot early momentum, helping investors get in before the crowd— where the real gains are made.

While trading bots are not a new concept, Snorter has been designed specifically for sniping with limit orders, MEV-resistant token swaps, copy trading, and even rug-pull protection.

The project is off to a strong start—$SNORT has already raised over $425,000 in its first two weeks of presale, likely driven by its high 727% APY on staking to rewards early investors.