The Shiba Inu community recently burned over 420 million SHIB tokens in 24 hours, marking a 533.62% increase in burn rate. This surge in token burn reflects the community’s ongoing commitment to reduce SHIB’s circulating supply. This strategy is believed to create scarcity and potentially boost the SHIB price over time.
Shiba Inu Burn Rate Soars
A substantial portion of the burned tokens came from two major transactions. The largest transaction was from address 0x85…331, contributing approximately 412.1 million SHIB to the burn in a single move, according to Shibburn. Another notable transaction involved address 0x28c…b08, which burned around 2.2 million SHIB. Other burns were also observed, like the 5 million SHIB sent from address 0x608….53d.
Burning tokens can help reduce inflation in the SHIB ecosystem, potentially driving up the price if demand remains steady or increases. Following the burn activity, Shiba Inu’s price rose by more than 10%, suggesting a possible correlation between the reduction in circulating supply and rising investor sentiment. While token burns don’t guarantee sustained price increases, they are a mechanism that can potentially boost value by limiting supply.
SHIB Price Action
With this recent price surge, Shiba Inu could attract more interest from investors and community members, especially if the burn rate continues at an elevated pace. The sustained commitment to burns from key community wallets may support the token’s price in the short term. Moreover, if demand remains high, it might encourage more significant price shifts in the future.
The Shiba Inu community’s dedication to regular burns demonstrates a focused effort to counter inflation and enhance SHIB’s appeal as a potential long-term asset, keeping SHIB’s performance in the spotlight.
As of writing, the SHIB price surged 10.32% to $0.00002769 on Monday, November 11. However, the 24-hour trading volume for the memecoin dropped 3.21% to $5.09 billion.
Also Read: Shiba Inu Rockets 361% In Whale Activity; FXGuys Booms As Investors Purchase Tokens In Bulk
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