Shiba Inu Price Prediction: SHIB Ignites Bullish Rally Amid May Burn Frenzy and Growing Momentum

Despite broader crypto market uncertainty, SHIB appears to be defying gravity, showing signs of renewed upward momentum in May 2025.

In the past seven days, Shiba Inu’s burn mechanism has removed more than 330 million SHIB tokens from circulation. According to data from Shibburn, this represents a staggering 364% increase in the burn rate, one of the most dramatic weekly upticks seen this year.

SHIB burned 330 million tokens in the past week, increasing its burn rate by 364%. Source: Shibburn via X

Token burning is a deflationary process designed to reduce the circulating supply, and it has become a central pillar of Shiba Inu’s long-term tokenomics. “The burn activity reflects growing community involvement and supports the token’s deflationary narrative,” analysts at The Coin Republic noted.

While token burns alone aren’t a direct price catalyst, they often coincide with broader bullish trends when accompanied by rising demand and volume—both of which SHIB currently enjoys.

Over the last 24 hours, SHIB’s trading volume spiked to $138 million, signaling renewed investor interest. This surge in volume is critical, as it provides liquidity for traders and helps reduce spreads in high-volatility environments.

Brave New Coin data shows Shiba Inu is currently trading at $0.00001322, marking a 3.5% daily increase. The price now hovers just below a key resistance level at $0.0000142, which many analysts are watching closely for a breakout confirmation.

“Higher volume typically reflects a growing appetite from both retail and institutional traders,” said one market analyst. “In the case of SHIB, this could reinforce the recent bullish structure forming on its chart.”

SHIB has a well-documented history of strong May performance. In the past four years, the token has averaged a 61% rise in May, as per information from Cryptorank. As an interesting aside, it increased by 355.4% in May 2021 and rose by 13% in May 2024, adding strength to its seasonal bullish trend.

Shiba Inu’s Historical Monthly Gains Chart. Source: Cryptorank

These successive wins have encouraged numerous traders to look forward to an equally impressive display this month. Caution notwithstanding, since historic trends don’t always carry into the future, the convergence of increased burns, trading volumes, and historic strong performance in May presents a hopeful setup for SHIB bulls.

Technically, SHIB recently broke above its 50-day Exponential Moving Average (EMA), a bullish sign of mid-term upside momentum. The indicator has acted as dynamic support in the past when rallies occurred, and its retaking suggests a possible trend reversal.

Shiba Inu (SHIB) price is forming a Head and Shoulders pattern signaling a potential bullish move ahead. Source: Rockybullcrypto on TradingView

Shiba Inu is also moving in the top section of a horizontal channel, between $0.0000118 and $0.0000142. Analysts believe a decisive break above the $0.0000142 resistance can pave the way for a more aggressive push to the upside.

Besides, technical indicators like the Relative Strength Index (RSI) and Moving Average Convergence Divergence (MACD) are showing mildly bullish signals. Although the weekly RSI sits at 43, which typically reflects a neutral to slightly bearish outlook, the positive MACD crossover and rising price action suggest underlying strength.

While short-term signals are bullish, long-term Shiba Inu price forecasts are uncertain. CCN cautions that SHIB may still be in a more widespread corrective phase, perhaps part of a W-X-Y wave structure from its 2021 all-time high. While their models have SHIB dropping as low as $0.0000029, an optimistic year-end target is $0.0000058.

Shiba Inu (SHIB) is trading at around $0.00001322, up 3.58% in the last 34 hours at press time. Source: Brave New Coin

Despite this wide margin of forecasting, SHIB has already increased by 50% since May of 2023, with a modest daily rate of 0.07%. It may support a smooth, if gradual, upward trend in the years to come if the trend persists.

As the burn rate of SHIB accelerates, volumes rise, and historical May trends become applicable, Shiba Inu is technically and in the market well set. While caution is warranted with differing long-term forecasts, the short-term perspective is bullish, especially if the token can decisively break above key resistance levels.

As the meme coin universe continues to evolve, SHIB is still a top dog, fueled by a robust community and deflationary pressures that continue to fascinate veterans and newcomers alike.