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For the second time this week, Shiba Inu (SHIB) has recorded a bump in its burn rate. This metric is essential as it helps get the coin to a level where a significant number is taken out of circulation.
Shiba Inu burn rate
Recent data from Shibburn shows the token’s daily burn rate grew by 1,088%. This saw the removal of 98,136 SHIB from circulation. These tokens have been sent to inactive addresses, which will become permanently unavailable for spending. The 98,136 SHIB tokens burnt were from a single transaction from the wallet address with the mark "0x811954f."
Gamza KhanzadaevAs noted, Shiba Inu employs the burn rate to control the token’s supply, keep the price steady and possibly force a rebound soon. So far, 410,727,971,296,171 SHIB have been burnt from the circulating supply of 583,426,840,565,219 tokens. The recent surge in burn rate comes amid price changes in the broader market, with no exception for SHIB.
At press time, SHIB’s price dropped by 1.5% in the last 24 hours to $0.00001359, according to CoinMarketCap’s data. The trading volume decreased by 17.7% in 24 hours to $180 million in the same time frame. Based on this data, it becomes obvious that the SHIB metric has not helped the recovery of the token.
Meanwhile, the SHIB burn rate has continued to increase, according to a U.Today report. Earlier this month, the burn rate surged over 4,411%, resulting in the removal of 114,618,006 tokens from the market.
What's next for SHIB?
Now that the token reduction approach does not positively affect SHIB’s price, the community must explore other strategies to maintain price stability. Though the launch of a burn portal might help, the broader Shibarium utility will help move it into the limelight.
Despite these challenges, SHIB is currently targeting the $0.0000137 mark, an important support level that could raise its price.
Arman Shirinyan
Alex Dovbnya