Shiba Inu Price Under Pressure as Burn Rate Declines and Retail Demand Weakens

Shiba Inu (SHIB) is struggling to maintain momentum as its declining burn rate has weakened a key bullish catalyst. The token's price has been under pressure due to weaker retail demand and uncertainty surrounding the CLARITY Act vote. A break below $0.00000460 could expose SHIB to more than 10% downside.

The decline in burn activity has raised concerns among traders, as a lower burn rate can reduce one potential source of long-term support for the token. The daily burns have fallen sharply since the recent rebound, from over 97 million tokens on Saturday to just 6.62 million tokens on Thursday.

The Relative Strength Index (RSI) also signals weakening buying momentum, with the daily RSI sitting around 49 and below the important 50 midpoint. However, the RSI has not entered deeply oversold territory, suggesting that buyers may still have some control.