The cryptocurrency Shiba Inu (SHIB), has recently seen a significant increase in its burn rate, capturing the interest of the crypto community.
The cryptocurrency known as Shiba Inu (SHIB), which is a popular meme coin, has once again captivated the interest of the cryptocurrency community with its most recent advancements.
As of Wednesday, May 22, the burn rate for the meme coin had increased by approximately 570%, according to Shibburn, a tracker that monitors the burning of Shiba Inu tokens.
Because of the rising burn rate, investors and traders alike became more optimistic about the market as a result of the rising burn rate.
Shiba Inu Coin Burn Rate Spikes Drastically
As a result of the significant increase in the burn rate, the market supply of Shiba Inu has decreased, which may have favorable consequences for the cryptocurrency’s tokenomics in the future.
According to Shibburn’s findings, the burn rate has increased by a staggering 569.50% in the past twenty-four hours. Additionally, the community carried out a number of transactions that burned a total of 12.70 million SHIB tokens.
In particular, four different wallet addresses were responsible for a significant portion of this increase. Both of the enormous transactions that were recorded a few hours ago were carried out by the wallet address 0xa9d1, which was responsible for the transfer of 4.6 million SHIB to a frozen wallet.
Additionally, within the same time period, a different wallet address, 0x608…, transferred 1.01 million SHIB to a wallet that had been abandoned. Massive transactions have contributed significantly to the recent increase in Shiba Inus’ burn rate.
Another community wallet, 0xc66…, effectively contributed to the increase in the burn rate by moving 1.04 million Shiba Inu tokens to a dead wallet. This was a successful move. This has resulted in the burning of an astounding 410.72 trillion SHIB tokens.
Furthermore, the decrease in supply that occurs as a result of these burn transactions is considered to be a potential catalyst for the value of cryptocurrency to increase.
To put this into perspective, a decrease in supply and a relatively stable or growing demand could lead to an increase in the price of any asset, including cryptocurrencies.
This development has instilled a surge of hope in the Shiba Inu community, prompting a large number of traders and investors to closely monitor the progress of meme coin. We have determined that the Shiba Inu price has successfully broken through the significant resistance level of $0.000025.
As of the writing of this article on Wednesday, the price of SHIB had surged by 1.39 percent to $0.00002562. Meanwhile, estimates put the market capitalization of the second-largest meme cryptocurrency at $15.11 billion.
In addition, the trading volume for SHIB during the 24-hour period increased by 33.58%, reaching $1.17 billion. The price of SHIB is ready to soar to $0.00003 or perhaps $0.00005 if it continues to trade over the important resistance level that was highlighted.
Furthermore, if the positive momentum persists, we may anticipate a long-term rally to $0.0001. The Shiba Inu price has increased significantly in response to the generally optimistic feeling that exists in the market.
For this reason, the open interest in SHIB futures increased by 9.24%, reaching $90.77 million, according to Coinglass. Despite this, longs dominated the liquidations, liquidating a total of $471,170. This might potentially cause the price of SHIB to go into the red.
On the other hand, shorts are responsible for over half of these liquidations, which means that their influence is not particularly large.