Shiba Inu is on track for its first positive monthly close since April after a weekend rally of nearly 40% lifted the meme coin, though sellers have since pushed it back from its highs. Token burns and whale activity picked up alongside the move, while traders now watch whether SHIB can hold support near $0.0000045.
Shiba Inu, the meme coin that spent May and June in retreat, is regaining ground. The token is on track for its first positive monthly close since April, up 11% in July. A weekend rally of nearly 40% carried it toward $0.0000058 before sellers pushed back much of the gain.
Rally cools after the breakout
SHIB traded near $0.00000468 on July 31 after its rally ran into heavy selling above $0.0000054. The token had briefly touched about $0.0000058 during the breakout before forming a series of lower highs and stabilizing between $0.0000046 and $0.0000048. A separate reading from U.Today put SHIB up 0.73% over 24 hours to $0.000004647 and up 12.16% for the week, after a high of $0.0000058 on July 28 gave way to a low of $0.00000484 the same day.
South Korean retail activity, a jump in token burns and renewed whale participation reportedly accompanied the rally. Yet the swift pullback suggests some traders used the sudden burst of liquidity to take profits rather than build longer-term positions.
Burns and holder growth accelerate
Shiba Inu burned 3.25 billion tokens over the past 30 days, with the surge in burn activity coinciding with last weekend's rally. This momentum seems to be sustained: 58.67 million SHIB burned in the last 24 hours, with the daily burn rate soaring 3,607%, according to the Shibburn website. July also brought holder growth of over 78,000 addresses, lifting the cumulative total to 1,678,280.
Liquidation map points to more volatility
The three-day liquidation heatmap places SHIB between two leverage clusters. The largest nearby concentration sits between $0.00000450 and $0.00000452, just below the current price. A drop through that zone and a secondary cluster near $0.0000044 would erase most of the breakout, while upside liquidity bands sit near $0.0000048, $0.0000049 and $0.0000050.
Daily ADX has risen to 31.03 from below 20, a level that generally signals a strengthening trend, though the indicator does not show whether that trend stays bullish. Commenting on the setup, pseudonymous analyst SHIBMortal said, according to crypto.news: "We are not out of the woods yet."
Bulls need a move above $0.0000049 and then $0.0000052 to build on the recovery; clearing the rally peak near $0.0000058 would reopen a path toward $0.0000060 and the May resistance zone around $0.0000064. A daily close below $0.00000444 would invalidate the short-term structure and put the July lows back in focus.
Sources: U.Today, crypto.news
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