Record-breaking 774M SHIB Tokens Burned by SHIB Community: What Will be the Effect on Shiba Coin Price?
Shiba Inu Community Burns Massive Amount of Tokens Despite Crypto Market Downturn
In the face of a challenging crypto market, the Shiba Inu community has shown an incredible dedication to burning tokens, with a staggering 774 million SHIB tokens burned in just one week. This represents a nearly 200% increase from previous burn rates and highlights the community’s commitment to reducing token supply and potentially increasing the value of SHIB.
The increase in burn rates has sparked discussions about its impact on the price of SHIB, especially considering the downward pressure on Bitcoin and other crypto assets. However, the scenario is different for SHIB, as the burning of more tokens increases scarcity, which could drive up its long-term value.
According to Shibburn, a platform that measures SHIB burn rates, the total burn value climbed 193.39% to $774.13 million last week.
Despite the recent market dip, the burn rate for Shiba Inu tokens has surged by 489.87% in the last 24 hours, totaling $19.34 million. This spike has prompted discussions about how it could affect the price of SHIB.
The highest burn transactions recorded were 650 million, 61.9 million, and 25.85 million SHIB tokens. Since its inception, the community has burned a total of 410.72 trillion SHIB tokens, showing its ongoing commitment to reducing token circulation. However, the circulating supply of the meme coin currently stands at 582.80 trillion SHIB.
In addition, Shibarium, the layer-2 blockchain that supports the SHIB ecosystem, has experienced a significant increase in daily transactions, nearing the one-million mark. This surge reflects growing investor confidence in the Shiba Inu ecosystem and its potential for further growth and adoption.
Despite these positive developments, the price of SHIB has suffered a recent decline, dropping by 7.46% to $0.00002159. Its trading volume in the last 24 hours has also decreased by 11.83% to $949.24 million. Over the past seven days, it has fallen by nearly 25%, reflecting the overall volatility in the crypto market.
According to on-chain data from IntoTheBlock, Shiba Inu aims to maintain a range of 51 trillion SHIB, with a value between $0.000022 and $0.000025. Within this range, there are 57,520 addresses holding 51.27 trillion SHIB at an average price of $0.00023. Reclaiming this range could result in resistance in the $0.000025 to $0.000030 range, while losing it may lead to support in the $0.000019 to $0.000022 range.
As the Shiba Inu community continues to burn tokens amidst market turbulence, the focus remains on SHIB’s resilience and potential for growth in the midst of volatility.