Emily Walker
The burn rate of Shiba Inu has dramatically increased by 1,068%, even as the value of this meme coin has recently fallen. This notable rise in the burn rate arrives during a time of negative market trends, hinting at the possibility of further price adjustments for SHIB. Despite challenges, the surge in burn activity may signal renewed investor interest, potentially leading to a recovery in Shiba Inu’s price, possibly surpassing $0.00003.
Surge in Shiba Inu Burn Rate
Recent statistics from Shibburn reveal that over 51.76 million SHIB tokens have been incinerated in the last 24 hours, showcasing a steady burn activity with millions of tokens being removed hourly.
This significant increase in burn rate by 1,068% represents a notable reduction in the overall token supply. However, it’s worth mentioning that earlier this month, the burn rate plummeted by 90%, resulting in only 413,000 tokens being burned, contrasting sharply with the prior week’s impressive figure of 250 million SHIB tokens.
This decline coincided with a drop in SHIB’s price, following a period where the token briefly exceeded the $0.00003 threshold. Additionally, data from Santiment indicates a decline of more than 3% in Shiba Inu’s Market Value to Realized Value (MVRV), suggesting that many SHIB holders may be experiencing losses this past week.
Moreover, the number of active daily addresses for Shiba Inu has also dropped significantly, from 6.26 billion on December 2 to 3.15 billion currently. This decline in key performance indicators hints that Shiba Inu might be facing another round of price corrections.
Nonetheless, the latest boost in Shiba Inu’s burn rate raises hopes for a possible price increase. Token burns are essential for enhancing long-term price stability and growth, as they help to lessen the circulating supply. With the total supply of Shiba Inu at 589.5 trillion, ongoing burns are vital for increasing scarcity, which could enhance demand and possibly lead to a price spike for SHIB.
Shiba Inu’s Price Displays Resilience Amid Challenges
As per CoinMarketCap, the current Shiba Inu price has dropped by 12% over the past 24 hours, landing at $0.000026. This downturn reflects a significant change in market sentiment, suggesting a waning interest in SHIB among investors.
Despite this struggle, Shiba Inu has managed to hold its price above the $0.000025 mark. Notably, analyst Bluntz on X (formerly Twitter) has pointed out that Shiba Inu remains robust, asserting that the meme coin retains its strength even amid challenging market conditions.
The analyst anticipates that Shiba Inu may still be on a solid upward trend, although it is yet to experience a significant breakout. With its recent uptick in burn rate and strong fundamentals, there is potential for Shiba Inu’s price to approach the $0.00003 mark again.