Shiba Inu (SHIB) Burn Rate Skyrockets 1,088%, Will Price Follow?

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As a seasoned crypto investor with a knack for spotting potential gems and navigating market volatility, I’ve seen my fair share of ups and downs in the world of digital assets. Recently, I’ve been closely following Shiba Inu (SHIB), and the latest surge in its burn rate has caught my attention. While it’s a positive step towards token reduction and potential price stability, the impact on SHIB’s price seems to be minimal at this point.

Once more this week, the burn rate of Shiba Inu (SHIB) has seen an increase. This key indicator is vital because it assists in removing a substantial amount of coins from circulation, eventually leading to higher values.

Shiba Inu burn rate

Recent data from Shibburn shows the token’s daily burn rate grew by 1,088%. This saw the removal of 98,136 SHIB from circulation. These tokens have been sent to inactive addresses, which will become permanently unavailable for spending. The 98,136 SHIB tokens burnt were from a single transaction from the wallet address with the mark “0x811954f.”

In my exploration as a researcher, I’ve observed that Shiba Inu utilizes a burn rate mechanism to manage its token supply, aiming to maintain a steady price and potentially trigger a rebound. To date, an impressive amount of 410,727,971,296,171 SHIB tokens have been ‘destructed’ from the current circulating supply of 583,426,840,565,219. This recent increase in burn rate coincides with fluctuations in the broader market, including the Shiba Inu token, suggesting a correlation between market conditions and the destruction of tokens.

Currently, Shiba Inu’s price has fallen by 1.5% over the past 24 hours to $0.00001359, as reported by CoinMarketCap. Additionally, the trading volume decreased by 17.7% within the same period, reaching $180 million. Given this information, it’s clear that the Shiba Inu metric has not contributed significantly to the token’s recovery during this timeframe.

Currently, as per a recent report by U.Today, the pace at which SHIB tokens are being destroyed (or “burned”) has been escalating. Just this month, the burn rate shot up by an impressive 4,411%, leading to the elimination of approximately 114,618,006 SHIB tokens from circulation.

What’s next for SHIB?

With the token reduction method proving ineffective on SHIB‘s price, it’s crucial for the community to brainstorm alternative tactics to ensure price consistency. While a burn portal could be beneficial, it’s the wider application of Shibarium that may draw more attention to the coin.

Regardless of the difficulties, Shiba Inu is aiming for a significant milestone at approximately $0.0000137, a crucial support point that might potentially boost its value.

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2024-08-21 15:14