Miracle in the SHIB Coin World! 60 trillion dollars vanished in an instant, is the crypto market facing a major reshuffle?
1️⃣ What is token burning?
Token burning is the process of permanently removing some cryptocurrencies from the market, making them no longer in circulation. The benefits of doing this include:
• It can make the asset rarer, potentially increasing its value.
• It can also reduce the issue of slow price increases due to an oversupply, stabilizing the price.
If $60 million worth of SHIB has truly been burned, that would be a significant event in the currency!
2️⃣ Why is burning so important?
• Reduced supply: There was a lot of SHIB initially, an overwhelming amount. If $600 billion is removed, that would be equivalent to reducing it by about 10%, significantly relieving market pressure.
• Prices could rise: If the supply decreases while demand remains the same or increases, then prices could potentially rise.
3️⃣ Can SHIB reach 1 cent?
• To be honest: For SHIB to reach 1 cent, its total value would need to be comparable to or more than Bitcoin's current value, which is not simple.
• Possible but difficult: Burning such a large number of tokens might drive SHIB's price up, but for it to reach 1 cent in the short term, something extraordinary would need to happen, such as widespread adoption or practical use cases.
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