The second-largest meme coin has performed quite poorly over the past several months, but the resurgence of its burning mechanism may signal that better days are ahead.
Other factors that suggest a price pump could be incoming include the revival of Shibarium’s activity and a reduction in the number of SHIB tokens stored on crypto exchanges.
SHIB Burning Goes Through the Roof
The X account Shibburn revealed that the Shiba Inu team and community have destroyed almost 30 million coins over the past 24 hours, representing a whopping 88,250% increase compared to yesterday’s figure.
The program’s ultimate goal is to decrease the overall supply of SHIB, thus making the token scarcer and potentially more valuable (should demand remain stable or head north). The team behind the meme coin introduced the mechanism in 2022, and since then, a total of 410.75 trillion tokens have been scortched, leaving approximately 585.22 trillion in circulation.
Another promising sign for the SHIB Army is the resurgence of Shibarium. Daily transactions processed on the protocol, which hovered in the 2,000-5,000 range earlier this month, have recently climbed well above 10,000. Despite still standing far below the record levels at the start of the year, this development indicates increased ecosystem activity, which could positively impact the price of the underlying token.
Furthermore, the amount of Shiba Inu tokens stored on crypto exchanges is just north of 82 trillion, or very close to the four-year low registered a few days ago. This trend suggests that investors have shifted from centralized platforms to self-custody methods, thereby reducing immediate selling pressure.
SHIB Price Outlook
As of this writing, the meme coin trades at around $0.00001043, down 12% on a monthly basis. Its market capitalization has dipped to nearly $6 billion, making it the 34th-biggest cryptocurrency.
Contrary to the downtrend, many Shiba Inu community members believe it is too early to wave the white flag. X user Shib Spain predicted that “a massive rally” might be knocking on the door, envisioning a price rise above $0.00001350. The analyst using the moniker EtherNasyional was also bullish, saying:
“Shiba Inu momentum is at historic lows. The price is quietly gathering strength in a major demand zone. This silence could be the sound of accumulation. And every accumulation has its breakout.”
The post Shiba Inu Burn Rate Explodes by 88,000%: SHIB Price Surge to Follow? appeared first on CryptoPotato.
