Breaking news in the crypto world! SHIB can no longer hold on, is 99% of SHIB tokens going to be burned?
As a cryptocurrency, SHIB's market capitalization has surpassed $15 billion, and the token burn rate has significantly accelerated recently, with the burn volume surging by 6220% in just a few days. Out of the initial total supply of 999 trillion tokens, 410 trillion have been burned, leaving only 541 trillion in circulation.
Impact of burning 99% of the tokens
- Impact on price: Theoretically, burning 99% of the tokens would greatly reduce the supply. Based on supply and demand, with demand remaining constant or increasing, prices are expected to rise significantly. However, in reality, the complexity of the market makes it difficult to accurately predict price movements.
- Impact on the ecosystem: SHIB's chief developer Kusama pointed out that while it is technically feasible, burning is not a cure-all; ecological projects like DeFi are equally crucial. Rapid burning may trigger a price spike, causing market panic, which could impact SHIB's long-term development. Therefore, it is essential to find a balance between burning and other development measures like Shibarium.
Current price and outlook
Despite many uncertainties, SHIB's price is still rising, and experts hold an optimistic view of its future prospects. Technical analysis indicates that if it breaks a certain key point, the price could rise to $0.000045. However, to achieve the $1 target, the SHIB community needs to find an ideal balance between token burning and project development.
Potential Meme coin focus
As a concept associated with Musk, the puppy PP is likely to become a potential Meme coin. If market sentiment further heats up, small investors might tentatively position themselves in such projects, leading to unexpected surprises.