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Shiba Inu (SHIB) has witnessed a dramatic shift in crucial metrics within the last 48 hours. The meme coin soared from zero burn activity to posting a 23,864% spike in the deflationary mechanism, permanently removing 16,661,951 SHIB from the overall supply.
Shiba Inu burn rate soars
As per Shibburn, a platform that monitors burn activities on the blockchain, the sending of over 16.6 million SHIB to dead wallets has reduced the circulating supply to 585,262,575,282,578 SHIB. The total SHIB that has been burnt from the initial supply now stands at 410,753,682,871,874 SHIB.
This astronomical spike in the Shiba Inu burn rate is a major twist, as from the last 48 hours, when there were almost no tokens burnt within 24 hours. At the time, the ecosystem felt that initiating the deflationary mechanism would not change the bearish situation.
Some opine that despite the over 23,800% burn rate, it remains a small fraction in the total circulating supply, which is still worth trillions of tokens. With less than 17 million SHIB removed from circulation, its impact on the price outlook might not be significant.
As of this writing, Shiba Inu was changing hands at $0.000008728, which represents a 0.3% increase in the last 24 hours. The memecoin climbed from a low of $0.000008243 to the current level. Meanwhile, trading volume has also jumped by a significant 20.02% to $163.62 million.
Other triggers for the price uptick in the broader market include Gemini launching SHIB perpetual futures for European traders. This triggered speculative interest in the dog-themed memecoin from investors in the crypto market.
SHIB Utility Adds Positive Twist
As U.Today reported, the free fall of Shiba Inu’s price requires more than occasional burns to catalyze price reversal. SHIB is likely to self-correct based on market realities and critical metrics that might spark a climb to the $0.00001 level.
In order for this to happen, the constant volatility needs to even out, and the huge selling pressure has to stop. A new development from the SHIB team could rekindle the interest of investors to want to resume accumulation.
Recently, Shiba Inu launched a customized card in collaboration with Bitget wallet. The card is aimed at allowing users to spend crypto with rewards attached as an incentive to encourage usage from community members.
The broader crypto community is watching to see how much of an impact initiatives such as this could have in rekindling investors’ confidence in the memecoin.
Dan Burgin
Vladislav Sopov
U.Today Editorial Team