On-chain tracking service Shibburn has revealed a staggering five-digit spike in SHIB’s burn rate as millions of SHIB tokens get wiped out of circulation in mere hours.
This shows that the Shiba Inu team has picked up the pace in its regular token burn strategy amid renewed interest from investors as major cryptocurrencies, including SHIB, continue to show signs of a potential breakout.
According to the data, the dog-themed meme token Shiba Inu (SHIB) has seen a massive 37,937% surge in its burn rate in the last 24 hours. As such, a total of 280,097,384 SHIB tokens have been permanently removed from circulation.
With SHIB’s circulating supply now reduced to 584,418,740,458,583, the metric highlights the Shiba Inu team’s commitment to increasingly creating scarcity while driving up the value of the leading meme coin.
The five-digit spike in SHIB’s burn rate marks a notable resurgence from previous lows, which saw it trend negatively for multiple weeks. While this reflects a bullish outlook for SHIB’s price performance, it signals increased demand for the meme asset among whales and small investors.
SHIB price still in red
Despite the massive rise in SHIB’s burn rate over the last day, Shiba Inu’s price is seen trading in the red zone during the same period.
As of press time, SHIB is trading at $0.00001334, a price decrease of 1.54% in the last 24 hours. Meanwhile, the token had hit a high of $0.00001352 during the same day.
This negative price movement suggests that the large token burns conducted by the SHIB team do not hold a significant impact on the immediate performance of the token. However, historical trends show that sustained SHIB token burns have proven beneficial to the long-term performance of the asset.
Earlier today, U.Today reported a massive SHIB transfer involving billions of SHIB tokens to a major U.S. exchange. While the move signals a notable sale or preparation to sell, it may have contributed to the decline in Shiba Inu’s market price while spurring the need for more token burns.
While the SHIB ecosystem has continued to note unusual whale activities, the community is hopeful that a possible price breakout for SHIB is imminent.
