Shiba Inu Burn Rate Explodes 3,273% in 24 Hours

In a notable development for the cryptocurrency market, Shiba Inu (SHIB) experienced a significant surge in its burn rate, with over 28 million tokens destroyed in a single day. This dramatic increase, which saw the burn rate explode by 3,273%, resulted in a substantial reduction in the circulating supply of SHIB. The burn rate, which measures the rate at which tokens are removed from circulation, reached an astonishing 3,255.93% within a 24-hour period. This massive burn event is part of a broader strategy to reduce the overall supply of SHIB, potentially driving up its value over time.

Despite the significant reduction in supply, the impact of this burn event on the price of SHIB remains to be seen, as price action has so far been subdued. At the time of writing, SHIB was trading at $0.00001218, a modest 1.40% daily gain. However, analysts have noted that the burn rate has the potential to create a supply shock, which could lead to a bullish reversal for the token. Recent price movements have shown promising signs of a rally, with some suggesting that SHIB could experience a strong upward trend from its current levels.

The burn mechanism is facilitated by Shibarium, a layer-2 solution for SHIB that contributes to the burning of tokens with each transaction. Daily burns can range from millions to billions of tokens, depending on the level of activity on the network. This continuous burning process is designed to create scarcity, which is a key factor in driving up the value of a cryptocurrency. Historically, major SHIB burns have often preceded notable price movements—and this one is no different. With over 28 million tokens removed from circulation, SHIB is clearly signaling an internal reset. The question is: Will the market respond?

On-chain data backs the bullish sentiment. Active addresses climbed 5.74% this week, indicating a steady rise in user participation. More tellingly, zero balance addresses (ZBAs) spiked by 31.11%, a result typically linked to wallet cleanups, token burns, and internal redistributions. These movements hint at intensified transactional activity, not abandonment. While new address creation dipped by 8.57%, the rising churn rate suggests the ecosystem isn’t shrinking—it’s reorganizing. In simple terms, SHIB isn’t losing interest—it’s prepping for a move.

Ask Aime: Will Shiba Inu's burn rate affect its price?

Technically, SHIB is coiling near key resistance levels. Price remains locked in a range between $0.00001106 and $0.00001290, while attempting to establish support above the mid-Bollinger Band at $0.00001198. The bulls have so far defended the crucial demand zone between $0.00001100 and $0.00001110, keeping the structure intact even as volatility remains muted. A breakout above $0.00001290 would confirm a bullish shift, opening a clear path toward $0.00001428—a zone where sellers historically step in. Until then, the current price structure acts like a coiled spring—tightening with each passing day, waiting for the right spark.

Market participants are beginning to take notice. Open Interest rose 7.05%, now standing at $125.57 million—a clear sign that speculative money is flowing back into SHIB. The Long/Short Ratio currently sits at 1.17, with 54.06% of traders favoring long positions. That slight bullish bias shows optimism—but not overconfidence. Traders seem to be quietly positioning themselves for a breakout scenario, while remaining cautious of potential resistance. It’s the kind of setup that often precedes impulsive, high-volume price action.

With an explosive burn rate, surging network activity, and tightening price action, SHIB is entering a critical phase. Every indicator suggests that momentum is building—but only a confirmed breakout above resistance will validate the trend shift. Until then, Shiba Inu remains a high-alert zone—teetering between consolidation and ignition. For now, the fuse is lit. The question is when it’ll blow.