Shiba Inu Burn Rate Surges 10,845% Boosting Price 3.66%

The Shiba Inu (SHIB) ecosystem has recently activated its deflationary mechanism, with the burn rate surging by over 10,800% within the last 24 hours. According to Shibburn data, a total of 9,551,523 SHIB tokens have been sent to wallets that are no longer active, marking a 10,845% increase in the burn rate during this period. This significant spike in the volume of SHIB tokens removed from circulation indicates the community's efforts to drive price recovery.

The SHIB burn mechanism serves as the ecosystem’s deflationary tool for supply control, aimed at increasing the value of the memecoin. By reducing the circulating supply, the ecosystem seeks to create scarcity and boost demand, ultimately leading to a price increase. With the recent massive burn, the circulating supply currently stands at 589,249,765,968,242 SHIB, with 584,556,551,143,300 SHIB in circulation and the remainder staked.

Scarcity is crucial for driving up the price of any product, and removing a significant volume from circulation is intended to test whether SHIB’s value will rebound. Although the amount burned is relatively small compared to the circulating volume, the community consistently engages in such activities to regulate supply and price. Over time, this could have a substantial impact, especially when the SHIB burn rate significantly reduces the total supply.

Following the burn exercise, the price of Shiba Inu in the crypto market has seen an uptick from its previous levels. As of the latest reports, SHIB was trading at $0.00001186, representing a 3.66% increase in the last 24 hours. The dog-themed memecoin had risen from a low of $0.00001135 to its current peak price, likely due to the triggered burn mechanism. Despite this impressive uptick and massive burn rate, investors remain cautious, and the trading volume has declined by 21.67% to $83.93 million. This suggests that some traders are still monitoring the price reversal to see if it stabilizes in the coming days.

Beyond leveraging the burn rate to trigger a price increase, Shiba Inu’s technical indicators have also improved slightly. The asset’s Relative Strength Index (RSI) has risen above the oversold territory, supporting the memecoin’s increase in the market and regarded as a bullish signal. This suggests that a combination of factors could be responsible for the current increase in the price of Shiba Inu. If the ecosystem maintains consistency with the burn rate, supported by good bullish technical indicators, SHIB’s value could soar. However, ecosystem traders also need to get active. If the trading volume were in the green, the value of Shiba Inu in the market might have climbed more than its current level.

Shiba Inu’s current rebound remains shaky, and investors are watching to see if it can trigger a breakout above $0.000013. To achieve that level of rebound, SHIB must break the resistance at $0.00001210 and $0.00001250, respectively. Meanwhile, in the broader cryptocurrency space, two centralized exchanges have delisted SHIB tokens from their platform. The ecosystem marketing lead, Lucie, assured users that the team would continue building and urged them to depend less on centralized exchanges, maintaining that the delisted tokens were not among the lowest-performing on the exchange.