Shiba Inu (SHIB) Burn Rate Surges 13872% in 24 Hours

Shiba Inu’s (SHIB) token burn rate surged by an unprecedented 13,872.22% within 24 hours, one of the most dramatic deflationary spikes in the project’s history [1]. On-chain data from Shibburn revealed the massive increase in token destruction, surpassing even a prior burn spike of 16,717% on July 29, when over 600 million SHIB tokens were sent to dead addresses in a single transaction as part of a community-led initiative [1]. The August 6 burn activity reflects the project’s ongoing efforts to reduce supply, despite SHIB’s relatively flat price performance.

SHIB’s price as of August 6 stood at $0.00001210, recording a 0.93% decline in the last 24 hours [1]. The token’s 24-hour trading volume reached around $175 million, with a market capitalization of approximately $7.1 billion, placing it among the top 30 cryptoassets by market cap. Indian investors reported SHIB trading at ₹0.00106246, a 0.6% drop over the same period [1].

The burn activity aligns with Shiba Inu’s evolving governance model, particularly the recent BONE token holder vote to prioritize SHIB burns when BONE exceeds $2 [1]. This mechanism aims to balance deflationary pressure with incentives for ecosystem participants. Previous large-scale burn spikes, including a 5,809% increase on August 1 and a 2,200% surge near the coin’s fifth anniversary on July 31, were followed by heightened on-chain activity, though price gains remained limited [1].

Technical analysts are watching closely for signs that the latest deflationary move could trigger a breakout. SHIB’s daily chart shows the formation of a classic cup-and-handle pattern, with key resistance levels identified at $0.00001310 and $0.00001400 [1]. Some forecasts suggest the token could average $0.00001763 in mid-2025, offering a potential 46% upside in bullish scenarios [1]. However, such projections remain speculative and not based on current market performance.

The Shiba Inu community continues to drive the token’s supply reduction strategy, reinforcing long-term scarcity and value retention. While the immediate price impact has been muted, the project’s deflationary momentum remains a focal point for investors and analysts alike. Whether this leads to a price breakout or a prolonged consolidation phase remains to be seen, but the trajectory underscores a sustained commitment to supply-side management.

Source: [1] [Shiba Inu (SHIB) Burn Rate Skyrockets 13872% In 24 Hours](https://blockchainreporter.net/shiba-inu-shib-burn-rate-skyrockets-13872-in-24-hours-details/)