Amidst the recent correction in the cryptocurrency market, there has been a surge in investor interest in the Ethereum-based memecoin Shiba Inu (SHIB). This increased interest is mainly due to the altcoin's token burn rate skyrocketing by over 4000% in the past 24 hours. The data from the token burn tracker has raised hopes for potential price surges in SHIB.

According to information from Shibburn, the token burn tracking platform, the SHIB burn rate has surged by an impressive 4093% within the last 24 hours. This surge led to the burning of 154.99 million SHIB, reducing their circulation. Over the past week, the Shiba Inu community has observed a total of 312.03 million SHIB being burned, further adding to the positive outlook for the token.

Despite a recent downward trend in SHIB's price, the remarkable surge in the token burn rate, especially the increase of over 4000% in the last 24 hours, has instilled optimism among investors. An increase in the token burn rate diminishes SHIB's circulating supply, which can potentially offset the downward pressure on the altcoin's price and have a beneficial impact on its tokenomics.

Current Status of SHIB

Buoyed by the rise in optimism following the surge in the token burn rate, Shiba Inu's SHIB price has experienced a 1.14% increase in the past 24 hours, currently trading at $0.00002709.

Nevertheless, data from the cryptocurrency analytics platform Coinglass reveals a 1.55% drop in SHIB's open interest in derivatives and an 11.96% decrease in its trading volume. These derivative data points reflect a decline in investor engagement and interest in the altcoin.

Despite some conflicting signals, the reduction in supply coupled with potential buying pressure is anticipated to profoundly influence SHIB's price movement. A technical analysis of Shiba Inu indicates that if the selling pressure persists, the price may retest the 61.8% Fibonacci retracement level at $0.00002368.

An article originally published on COINTURK NEWS: Shiba Inu’s Token Burn Rate Skyrockets by Over 4000%