While the broader cryptocurrency market is consolidating, the price of Shiba Inu (SHIB) has surged 3% in the past 24 hours. This is due to the destruction of 79 million SHIB tokens in the past 24 hours, which has reduced the market supply and caused upward price pressure.
According to Shibburn data, the accelerated rate of SHIB token destruction has jumped 15% in the past 24 hours. Crypto destruction refers to the process of permanently removing part of the supply from circulation. This creates a scarcity effect, which drives up the value of the cryptocurrency.
In addition, developer activities have also greatly boosted SHIB prices, which have soared by more than 25% so far in the month since July 1.
Additionally, as the Shibarium launch approaches, there could be a further surge in trading activity on the Shiba Inu blockchain. As a result, investors could see a further increase in price activity for the Shiba Inu.
Binance increases OTC trading limits for Shiba Inu
Another reason supporting the rise in Shiba Inu prices is that the cryptocurrency exchange Binance has increased the OTC trading limit for SHIB. As Binance becomes the world's largest cryptocurrency exchange, SHIB's trading volume will grow significantly. The new OTC trading limit for Shiba Inu on Binance is $30,000.
Over-the-counter (OTC) trading is a form of cryptocurrency trading where buyers and sellers negotiate directly to sell a specific amount of an asset at a set price. OTC trading is designed to mitigate market disruptions and minimize price volatility.
This positive advancement for Shiba Inu and XRP users has introduced new trading pairs such as SHIB/USDT, SHIB/USDC, XRP/BTC, XRP/USDT, and XRP/USDC.
As a result of the enhanced restrictions, traders on the Binance US OTC portal can now execute buy and sell orders on these supported SHIB trading pairs with a maximum value of $30,000. At press time, SHIB is trading at $0.00001008 with a market cap of $5.94 billion.