Shiba Inu has continued to record slow network performance amid the recent crypto market downturn. While the market is gradually regaining momentum, Shiba Inu has only seen its burn rate turn flat.
Amid weak network activities, data from Shibburn shows that the Shiba Inu burn rate has fallen by 100% over the last 24 hours as no SHIB were burned as of Feb. 14.
It is important to note that the Shiba Inu ecosystem periodically burns SHIB from its total supply in a move meant to reduce the circulating supply.
Apparently, this move aims to increase demand by creating a sort of scarcity amid efforts to potentially fuel an increase in the price of the asset.
While the move is often observed on a daily basis, the zero SHIB burn recorded over the last day has sparked discussions across the market amid concerns about its impact on the asset’s price resurgence.
SHIB price resurges
Despite the zero burn activity SHIB recorded today, the leading dog-themed meme token has seen a notable increase in its trading price over the past day.
This means that SHIB's ongoing price surge is extremely independent of the token’s deflationary mechanism, suggesting that the bullish price move has been fueled by renewed interest among investors as momentum returns to the market.
This notable price comeback has come amid a broad crypto market resurgence, where Shiba Inu has seen its price record an increase of 5.59% over the last 24 hours. Following this massive price surge, the asset is sitting at $0.000006455 as of writing time.
While the Shiba Inu network activity has remained negative, in contrast to its impressive price surge, market watchers have expressed concerns about the sustainability of the ongoing rally.
Vladislav Sopov
Dan Burgin