Shiba Inu Burn Rate Drops 72%, Weekly Burn Surges by 164% Amid Price Volatility
The Shiba Inu (SHIB) community continues its relentless effort to reduce the token’s circulating supply, but recent data reveals contrasting trends. While the daily burn rate has plummeted by 72%, the weekly burn rate has surged by an impressive 164%. However, these developments coincide with a 13% weekly drop in SHIB’s price, highlighting the cryptocurrency’s ongoing volatility.
Daily Burn Rate Declines Sharply
In the past 24 hours, approximately 8.7 million SHIB tokens were removed from circulation by being sent to unspendable blockchain addresses, effectively reducing the overall supply. Despite this ongoing effort, the daily burn rate saw a significant drop of 72%, according to data from Shibburn.
The declining burn rate aligns with SHIB’s price struggles, as the second-largest meme coin recently entered a red zone on the charts, reflecting bearish sentiment.
Weekly Burn Rate Tells a Different Story
Contrary to the daily figures, the weekly burn activity paints a much more optimistic picture. Over the past seven days, a total of 102.8 million SHIB tokens were transferred to dead-end wallets, representing a 164% increase in the burn rate. This fluctuation underscores the community’s dedication to reducing SHIB’s circulating supply, even amid inconsistent burn activity.
The beginning of 2025 has seen several sharp spikes in the burn rate, with some days recording increases of 1,000% to 2,000%. However, these surges have not been sustained, as daily burn rates frequently revert to lower levels.
Price Challenges Amid Burning Efforts
Despite the aggressive burn initiatives, SHIB’s price has faced significant headwinds. In the past day alone, SHIB dropped 3.35%, while its weekly decline reached 13%, further highlighting market pressure on the token. The price movement reflects broader market volatility and emphasizes the challenges faced by meme-inspired cryptocurrencies in sustaining value.
What’s Next for Shiba Inu?
The contrasting trends in SHIB’s burn rates and price performance point to a community-driven project grappling with market realities. While the burn mechanism aims to reduce supply and potentially increase demand, the effects on SHIB’s price have yet to be realized in a meaningful way.
Key Takeaways:
- Daily Burn Rate: Dropped by 72%, with only 8.7 million SHIB tokens burned in the last 24 hours.
- Weekly Burn Rate: Surged by 164%, with 102.8 million tokens sent to dead-end wallets.
- Price Performance: SHIB’s price fell 3.35% in 24 hours and 13% over the week, reflecting ongoing volatility.
The Shiba Inu community remains steadfast in its commitment to reducing the token supply through burns. However, the token’s future trajectory will depend on broader market conditions, utility adoption, and the consistency of these burning efforts. Investors and analysts alike will continue to closely monitor both burn metrics and price trends as the year progresses.
