Shiba Inu Faces Historic Death Cross in 2025 as Token Burns Flatline

Shiba Inu Faces Historic Death Cross in 2025 as Token Burns Flatline
Table of Contents

TL;DR

  • Technical Signal: Shiba Inu has recorded its first-ever weekly death cross in 2025, where the 50-week moving average slipped beneath the 200-week line.
  • Burn Mechanism: The ecosystem reported zero token burns in the past 24 hours, halting its deflationary strategy. Burns are critical to reducing supply and supporting value.
  • Market Impact: SHIB’s price fell 3% to $0.000007101 as selling pressure mounted. Holders exited positions, and RSI plunged to 14.

Shiba Inu has entered one of its most turbulent phases yet, marked by a rare technical signal and a complete halt in its burn mechanism. The meme coin, long reliant on community-driven scarcity measures, is now facing structural challenges as selling pressure intensifies and investor confidence wanes. With its first-ever weekly death cross in 2025 and zero burns recorded in 24 hours, SHIB’s trajectory raises pressing questions about its resilience heading into 2026.

First Weekly Death Cross Emerges

For the first time in its history, Shiba Inu has registered a weekly death cross, where the 50-week moving average fell below the 200-week moving average. This bearish indicator is often seen as a precursor to prolonged downturns. Analysts note that such a crossover reflects sustained weakness in price momentum, underscoring the difficulty SHIB faces in reversing its current trend. The event has sparked debate among traders about whether the coin can withstand further downside pressure or if 2026 will bring deeper corrections.

Token Burns Hit Absolute Zero

Equally alarming is the sudden halt in Shiba Inu’s burn activity. Data from Shibburn revealed that no tokens were removed from circulation in the past 24 hours. Burns are central to SHIB’s deflationary narrative, designed to reduce supply and support value appreciation. The absence of burns during a period of price decline has amplified investor concerns. Without this mechanism, the expanding supply risks undermining any recovery attempts, leaving SHIB vulnerable to continued depreciation.

Price Decline and Market Reaction

Price Decline and Market Reaction

The token’s price slipped from $0.000007348 to $0.000007101, reflecting a 3% drop in just 24 hours. Selling pressure has intensified as holders exit positions, while long-term traders adopt caution. The Relative Strength Index plunged to 14, signaling oversold conditions. Yet, despite technical cues for a rebound, upward momentum has failed to materialize. This imbalance between supply and demand highlights the fragility of SHIB’s market structure.

Outlook for 2026

Looking ahead, Shiba Inu faces a challenging landscape. The combination of a historic death cross and halted burns suggests structural weaknesses that could persist into 2026. Unless the ecosystem revives its deflationary measures and demand stabilizes, SHIB risks prolonged stagnation. Traders remain watchful, but optimism is tempered by the coin’s inability to counteract expanding supply and sustained selling activity.

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