The burn rate of Shiba Inu ($SHIB) tokens has surged dramatically by over 2200%, sparking speculation of a potential parabolic rally for the popular meme coin. Positive on-chain data and bullish sentiment within the cryptocurrency market are fueling investor optimism.
SHIB Burn Rate Skyrockets, Reducing Token Supply
According to Shibburn, SHIB’s burn rate jumped an impressive 2225% on November 21, with 14.58 million tokens burned in a single day.
Over the past week, a total of 50.06 million tokens were removed from circulation through SHIB's burning mechanism, which permanently reduces the supply by sending tokens to an inaccessible zero address.
With a total supply of approximately 589.26 trillion tokens, this reduction aligns with supply-demand dynamics, potentially driving SHIB's market value higher.
Will SHIB See a Parabolic Rally?
Despite the surge in the burn rate, SHIB’s price dropped by 2% in the past 24 hours, trading at $0.00002386, with daily highs and lows of $0.00002478 and $0.00002311.
However, the monthly performance tells a different story, with SHIB posting a 30% gain over the past 30 days.
Over the last month, a staggering 192.78 billion tokens have been burned, offering further support for bullish price action in the long term.
Meme Coins Gaining Momentum
The broader meme coin market, including DOGE, PEPE, and SHIB, has shown robust growth, with some tokens experiencing rallies of 90% to 169% over the past month.
This upward momentum suggests continued optimism for the meme coin sector as blockchain data highlights strong investor interest.
Conclusion
The significant surge in SHIB’s burn rate has enhanced market sentiment, reducing the circulating supply and increasing the potential for price appreciation. Combined with the ongoing bullish momentum in the meme coin market, SHIB stands out as a key investment opportunity for traders seeking to capitalize on this growth.
As the crypto market evolves, Shiba Inu remains a token to watch closely for further developments and potential price action.