Shiba Inu (SHIB) is back in the spotlight with a significant increase in burn rate, an important metric for reducing the total supply of tokens and potentially stabilizing their price.
Increase in Shiba Inu Burn Rate
In the past few days, Shiba Inu has twice shown a significant increase in burn rate, highlighting community efforts to effectively manage the supply dynamics of this meme token. According to the latest data from Shibburn, the daily burn rate of SHIB has surged by 1088%, resulting in the removal of 98,136 SHIB tokens from circulation. These tokens were sent to inactive addresses, making them unavailable for future transactions. The transaction responsible for this burn came from the wallet address 0x811954f.
Market Volatility
U Today reports that despite the recent surge in burn rate, SHIB is not immune to broader market volatility. According to CoinMarketCap, the price of Shiba Inu dropped by 1.5% in the last 24 hours, reaching $0.00001359. Simultaneously, SHIB's trading volume decreased by 17.7%, reaching $180 million over the same period. This indicates that the significant increase in burn rate has not yet translated into a corresponding price recovery for the token. Earlier this month, the burn rate of SHIB also surged dramatically by 4411%, removing 114,618,006 tokens from the market. However, the anticipated price rebound has not materialized, prompting the Shiba Inu community to consider alternative strategies to maintain price stability.
Strategies for Price Stabilization
Looking forward, the Shiba Inu community may need to explore additional measures beyond simply increasing the burn rate to achieve their goals. The launch of a burn portal could be one such strategy, potentially offering a more structured approach to token reduction. Additionally, broader utility of Shibarium may play a crucial role in driving the token's prominence and long-term value. Despite these challenges, SHIB remains focused on regaining support at $0.0000137. If successful, this could provide the necessary momentum to reverse the recent downward trend and improve the outlook for SHIB in the near future.
While Shiba Inu faces market volatility, the significant increase in burn rate remains a key strategy. However, additional measures may be needed to achieve long-term stability and growth.
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