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According to data from Shibburn, only 1,813,008 SHIB tokens were burned in the past 24 hours. Despite the relatively small amount, the daily burn rate has surged by a surprising 112%.
The burn rate increase is calculated based on the prior day's activity. The day before last, 851,788 SHIB were burned, marking a 63% drop in the burn rate. Since the previous burn volume was even lower, the burn in the last 24 hours appears as a significant jump percentage-wise. Notably, the increase in burn rate over the last 24 hours correlates with the SHIB price's recovery.
While burning SHIB contributes to reducing its total supply and increasing scarcity, present burn volumes are substantially lower. This could be related to the current broader market conditions, which have seen a sell-off in most crypto assets since the weekend. This bearishness has led investor enthusiasm to fade across the board, as indicated by the SHIB burn rate.
Tomiwabold OlajideHowever, despite the numbers, the 112% spike in burn rate shows that the Shiba Inu community is still working toward reducing supply and boosting SHIB’s long-term value. In the last seven days, 57,622,535 were burned, however, representing a 47.47% drop in the weekly burn rate.
SHIB price action
After a four-day fall since the weekend, Shiba Inu began to rebound from lows of $0.00001082 on March 11.
Godfrey BenjaminWednesday closed in the green for the SHIB price as the latest U.S. core Consumer Price Index (CPI) print, a measure of inflation, came in lower than predicted at 3.1%, exceeding estimates of 3.2%, resulting in a 0.1% decline in headline inflation rates.
The cooling inflation data increases the chance that the Federal Reserve might lower interest rates this year, which might inject the much-needed liquidity into the markets and consequently boost risk-on assets.
At the time of writing, SHIB has slightly retraced, down 0.55% in the last 24 hours to $0.00001223 and down 10% weekly. This indicates that while the crypto market appears to have stabilized, traders are proceeding with caution.
Dan Burgin
Vladislav Sopov