Last updated on May 18th, 2024 at 11:55 am
Trending crypto Shiba Inu has recorded a surge in its burn rate over the last 24 hours, reintroducing the token to the spotlight. The memecoin has been in the news for the right reasons following the relaunch of the Shibarium network on August 28.
In a recent development, Shiba Inu whales seem to have reemerged to continue burn activities to potentially increase the value of the SHIB token. According to live data from burn tracker Shibbburn, the Shiba Inu burn rate has surged above 40% in the last day.
Though the reason for the surge remains uncertain, it could be attributed to the successful scaling and relaunch of the layer 2 blockchain solution, Shibarium. This further underscores the renewed confidence in the Shiba Inu project.
Furthermore, data indicates that the majority of the transfers are done to or from cryptocurrency exchanges. As a result, it could suggest a variety of strategies including simple transfers to more extensive trading strategies to successfully navigate the market volatility.
Whatever the reason behind the Shiba Inu large transactions, the surge in its burn rate is a good sign for the project. Per the data on Shibburn, two separate transactions burning 19,960,000 SHIB and 10,629,557 SHIB were carried out about 10 and 14 hours ago respectively from press time.
Related Reading: Almost 1 Billion XRP Withdrawal Recorded from Crypto Exchange Over the Weekend
Source: Shibburn
Burning is an activity that is carried out to effectively reduce the circulating supply of a token. This will cause scarcity and consequently increase the value of the remaining tokens in circulation. The Shiba Inu community has been actively participating in this activity and have successfully burned over 410 trillion Shiba Inu token so far.
Investors should keep a close eye on the change in Shiba Inu’s burn rate. The heightened activity is likely to affect SHIB’s price in the near future, whether it is an indication of whales preparing for a major move or merely a transfer of assets.
Shiba Inu (SHIB) price reaction
Source: CoinMarketCap
Shiba Inu’s price seems to have reacted positively. According to live data from CoinMarketCap, SHIB is currently trading at $0.000008. The price is up 2.39% in the last 24 hours. Furthermore, Shiba Inu has a 24-hour trading volume of $121,526,173 ($121 million) and is currently ranked #16 on the global crypto market chart with a live market cap of $4,777,455,010 ($4 billion).
