Millions of SHIB Tokens Destroyed as Shiba Inu Burn Rate Soars by 207%
The burn rate of the dog-themed cryptocurrency Shiba Inu (SHIB) has skyrocketed by an astounding 207% in the past 24 hours, resulting in the elimination of millions of SHIB tokens from circulation. The Shiba Inu community has actively participated in this burning activity to introduce scarcity and potentially influence the token’s price.
Data from the Shibburn X account reveals that a total of 4,796,486 SHIB tokens were burned within the last day, representing a significant increase in burn rate. This surge in SHIB token burns comes at a time when the market eagerly awaits a substantial price shift, especially given the lackluster trading activity in Bitcoin and other major cryptocurrencies, including SHIB.
In terms of recent price action, Bitcoin has been relatively stagnant, hovering within the $67,000-$69,000 range. This period of limited movement in the leading cryptocurrency coincided with challenges for other high-risk assets, such as U.S. stocks.
Shiba Inu itself is currently experiencing profit-taking, entering its fourth day of decline after a remarkable surge earlier in the week. Following three consecutive days of gains, SHIB spiked by as much as 20% on May 29, reaching a high of $0.0000294. However, investors are now capitalizing on these gains, leading to a phase of profit-taking and a subsequent decline in the value of the dog-themed coin.
As of now, SHIB has dropped by 2.18% in the past 24 hours, trading at $0.00002473. This decline aligns with a broader market downturn, as most cryptocurrencies are currently in the red.
The market’s response to the ongoing profit-taking phase will play a crucial role in determining SHIB’s short-term price trajectory. If buyers absorb the selling pressure, the price may stabilize or even continue its upward momentum. Conversely, if profit-taking triggers a more sustained sell-off, it could test the support levels of the SHIB price.
To maintain SHIB’s upward price momentum and prevent further losses, it is crucial for Shiba Inu to sustain levels above the daily SMA 50, currently at $0.00002454. This level will be closely watched to gauge the token’s resilience in the face of selling pressure.