The burn rate of Shiba Inus has skyrocketed by 7,911%; will this cause the price of SHIB to reach $0.00008?
A big burn rate surge in the past 24 hours bodes well for Shiba Inu (SHIB), the second-largest meme currency by market valuation. The rise in the Shiba Inu burn rate should assist SHIB price soar to its all-time high (ATH) of $0.00008.
Shiba Inu Burn Rate Rises 7,911%
In the previous 24 hours, 281.9 million SHIB tokens have been burnt, a 7,911% increase in Shiba Inu burn rate. The majority of these tokens were delivered to a defunct wallet: 277.5 million SHIB tokens. Another 7.2 million SHIB tokens were burned in one transaction.
The 281.9 million SHIB tokens burnt in the previous 24 hours make up majority of the tokens destroyed in the last seven days, with 312.3 million. The weekly Shiba Inu burn rate rose 1731%.
Since token burns increase asset value, the Shiba Inu burn rate might boost SHIB to $0.00008. As more tokens are burnt, SHIB may rise. Note that crypto market mood affects token burning.
Shiba Inu burn rates have increased considerably everytime Bitcoin prices rise. This is expected given the significant positive association between SHIB and the flagship coin. Therefore, Shiba Inu transactions surge when BTC becomes bullish again, as investors buy the meme currency.
The burn rate rises due to more transactions. If Bitcoin stays bullish, the SHIB price might hit $0.00008.
Low Network Activity on Shibarium
Shibariumscan data indicates poor layer-2 network traffic, showing crypto consumers' disinterest. Shibarium's daily transactions remain at 10,000, much below the millions it recorded at the end of 2023 and at the start of the year.
Shibarium's collapse worries the Shiba Inu community since the network has caused token burns. The daily Shiba Inu burn rate might rise if layer-2 network use rises again.
According to CoinMarketCap, SHIB is trading at $0.000018, up roughly 2% in 24 hours.
