Shiba Inu Burn Rate Increases 1500% with 33 Million Tokens Destroyed
The second-largest meme coin, Shiba Inu #SHIB, has gained attention after its burn rate increased by 1500% on December 3. Data from Shibburn shows that over 30 million SHIB tokens were destroyed in one day, reducing supply and fostering optimism about potential price increases.
The SHIB burn mechanism permanently removes tokens from circulation to create scarcity and enhance value. In the last 24 hours, 33.01 million SHIB tokens were burned. Weekly statistics indicate a total of 44.03 million tokens eliminated recently.
Shibburn’s annual data indicates that December saw the burning of 2.67 billion SHIB tokens across 143 transactions. Throughout 2024, 44.62 billion tokens were removed from circulation, positioning Shiba Inu favorably in the meme coin market.
Additionally, a dormant SHIB whale withdrew 220 billion tokens from Binance on January 1, suggesting a shift toward self-custody and long-term holding.
Shiba Inu Price Trajectory
Following the increased burn activity and whale transactions, SHIB has seen a modest uptick. Currently trading at $0.00002276, it reflects a 1.5% increase in the past 24 hours, with trading volume rising by 22% to $510 million according to CoinMarketCap.
Despite this, SHIB is down 25% over the month, consistent with the overall market downturn in December. To maintain bullish momentum, analysts suggest it must hold the crucial support level of $0.000022 and break through the $0.000025 resistance for a major rally. Investors are targeting the $0.001 mark by 2025, contingent on sustained burns and broader market support.
The broader cryptocurrency market is showing signs of recovery after a bearish close to 2024, with a global crypto market cap increase of 0.27% on January 3, reaching $3.39 trillion.
The meme coin sector has surged by 10% over the past three days, currently holding a market cap of $103.5 billion. The overall crypto market is gaining momentum following a bearish end to 2024.
Shiba Inu's increasing market activity suggests a positive outlook for the cryptocurrency.