The Shiba Inu community's recent increase in token burning activity has sparked fresh interest and discussions about potential price movements.
What the Burn Means for SHIB
The Shiba Inu token burn mechanism aims to create scarcity by systematically reducing circulating supply. Currently, the total supply of SHIB stands around 589.24 trillion tokens, with about 584.55 trillion actively circulating. While the volume burned might seem small relative to the total supply, consistent burns aim to have a long-term deflationary effect that could enhance the token's value proposition.
SHIB Price Reacts to Burn
Following the latest burn, SHIB's market price increased by 3.66% to $0.00001186, recovering from a daily low of $0.00001135. This increase came alongside an improvement in the token's Relative Strength Index (RSI), indicating a potential early bullish shift for the asset. However, SHIB's 24-hour trading volume dropped by over 21% to $83.93 million, suggesting trader caution.
Community Concerns over Delistings
Lucie, Shiba Inu's ecosystem marketing lead, addressed community concerns after two centralized exchanges delisted SHIB tokens. She encouraged the community to avoid fear, uncertainty, and doubt (FUD), stating that the delistings were due to manipulative exchange behavior rather than SHIB's performance. Lucie emphasized the need for the SHIB Army to rely less on centralized exchanges and assured continued efforts to strengthen the ecosystem.
The Shiba Inu community's discussions around the latest burn surge may influence price dynamics, while overall price movement remains uncertain due to declining trading volumes.
