Shiba Inu's burn rate has surged nearly 253,000% today, drawing investor attention. Notably, this significant increase comes after billions of tokens were burned in the past 24 hours, indicating that SHIB's price may rise. However, despite the positive momentum, a top expert from the Shiba Inu community issued an important warning to traders, sparking widespread discussion in the market.

Shiba Inu's burn rate surged amid key warnings

According to recent Shibburn data, the burn rate of Shiba Inu skyrocketed 252,910% in the past 24 hours, with over 5.61 billion tokens burned. This significant spike has prompted discussions about its potential impact on SHIB's price, as a surge in burn rate typically signals potential price increases.

In context, token burns reduce market supply, thereby increasing the token's value. Notably, SHIB, as one of the leading meme coins, has recently garnered investor attention, especially with an astonishing monthly surge in SHIB's burn rate in October. According to Shibburn data, a total of 6.13 billion SHIB tokens were burned in October, representing a monthly increase of 157.90%.

In the past 24 hours, the wallet '0xbb3…9d8a1' has had the highest burn amount, destroying 5.58 billion tokens alone. After this burn, a total of 410.73 trillion tokens have been removed from the initial supply, with the current circulating supply at 583.59 trillion tokens.

Warning

Despite the significant surge in Shiba Inu's burn rate, X handle Susbarium, focused on SHIB community safety, issued a stern warning. He cautioned against mass burning of SHIB, claiming this move aims to draw attention, and he advised the community to act cautiously and conduct thorough research before investing.

Susbarium outlined key tips for investors, including assessing project goals, reviewing token allocation, understanding tokenomics, and questioning promotional activities. However, he also clarified that this may not be a 'scam,' but investors should conduct due diligence before betting.

Meanwhile, SHIB chief developer Kaal Dhairya has echoed this warning, urging investors to remain calm and make wise decisions. This warning serves as a timely reminder for investors to stay vigilant and avoid becoming potential victims of scams amid the frenzy of SHIB burning.

Is SHIB's price about to drop?

The significant rise in Shiba Inu's burn rate has sparked optimism among investors, with many believing that the price of Shiba Inu could rise significantly in the coming days. However, the latest warnings and Kaal Dhairya's support have raised some speculation about whether this is a strategic move to attract investor attention.

Meanwhile, at the time of writing this article, the price of Shiba Inu has fallen over 6% to $0.00001733, with its trading volume soaring 41% to $492.44 million. At the same time, SHIB futures open interest has also dropped 12% to $46.76 million, with the token's 24-hour high at $0.00001913.

However, despite this, recent price analysis of Shiba Inu suggests a potential rebound to $0.000081. This has sparked optimism among investors, especially as the market anticipates a possible rebound in the cryptocurrency market in the fourth quarter. Notably, the upcoming U.S. presidential election is also expected to boost market sentiment, which may, in turn, help digital assets surge alongside meme coins in the coming days.