- Shiba Inu burn rate surges 396%, signaling renewed community momentum.
- Market uncertainty grows as U.S. government shutdown halts key economic data.
- Traders weigh SHIB’s rebound potential amid Bitcoin correction and Fed updates.
Shiba Inu’s ecosystem is seeing renewed activity as its burn rate surged in the last 24 hours, signaling a stronger community push toward reducing the token’s overall supply. According to Shibburn, the burn rate climbed by 396.19%, with 7,505,000 SHIB tokens permanently removed from circulation.
This increase comes after a sharp weekly decline, as only 16,904,488 SHIB were burned over the past seven days, marking a 77.4% drop in the weekly burn performance.
Despite the higher burn activity, the token’s price retraced after an earlier rally that lifted SHIB to $0.00001297. This move followed Bitcoin’s record-breaking climb above $125,000, which spurred temporary enthusiasm across altcoins.
As Bitcoin cooled off from its highs, profit-taking hit the market, pulling SHIB slightly lower. At the time of writing, SHIB traded down by 0.2% at $0.00001268, reflecting a cautious sentiment among traders.
Also Read: 18,744,800 XRP Moved to Ripple Wallet Sparks Frenzy Over $55.9M Transfer
Market Faces Uncertainty as U.S. Shutdown Continues
Meanwhile, macroeconomic factors continue to weigh heavily on the broader crypto market. The ongoing U.S. government shutdown has disrupted key economic reports, leaving investors without critical data such as the September jobs report. The absence of this information adds uncertainty to trading decisions as investors search for clarity on the country’s economic direction.
Additionally, speeches from several Federal Reserve officials this week are expected to shape market expectations. Fed Governor Stephen Miran will speak on Wednesday, followed by Chair Jerome Powell on Thursday.
Furthermore, five Fed officials are set to speak on Oct. 7, while the New York Fed will issue updated inflation expectations. Consumer sentiment data will also arrive later this week, offering a broader view of economic confidence.
Analyst Outlook and Investor Sentiment
The combination of rising SHIB burns and macro uncertainty has created a mixed picture for investors. Some see the growing burn rate as a positive sign of community engagement, potentially improving the token’s long-term value. Others remain cautious, pointing to broader market volatility tied to macroeconomic developments and Bitcoin’s pullback.
Consequently, traders are expected to remain vigilant as both crypto-specific and global economic factors continue to influence short-term momentum.
Also Read: Pundit: Why You Only Need 1,000 XRP to Become Rich in The Next Few Years
