Shiba Inu (SHIB) has gained significant attention following a dramatic surge in its token burn rate. Over the past 24 hours, the burn rate skyrocketed by an incredible 4,800%, resulting in the permanent removal of over 15.8 million SHIB tokens from circulation.
This surge in token burns has had a direct impact on SHIB’s price, which increased by approximately 10%, reaching $0.00001396 during the same period.
Historically, SHIB had a circulating supply of one quadrillion tokens, but thanks to numerous burn initiatives, more than 410 trillion tokens have been destroyed, leaving around 589 trillion still in circulation. Despite this substantial reduction, the overall supply remains large, signaling that ongoing and extensive burns will be necessary to create real scarcity and drive long-term value.
The recent uptick in the burn rate has generated positive market sentiment, fueling buying pressure. However, it’s important to note that while supply reduction can influence price, it doesn’t guarantee sustained price growth. Broader market conditions, investor sentiment, and economic factors will continue to play a significant role in shaping SHIB’s price trends.
Analysts suggest that while the burn rate spike is encouraging, SHIB’s price may still undergo some retracement as it looks for solid support levels before any strong bullish momentum can be confirmed.
For SHIB to maintain its upward momentum, continued community engagement in burn efforts, along with increased utility and adoption, will be crucial. Investors should monitor these developments closely, as they could significantly influence SHIB’s long-term value proposition.
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