According to U.Today, Shiba Inu (SHIB) has experienced a significant decline in its burn rate, reaching the lowest level in several weeks. According to data from Shibburn, the burn rate decreased by 88.65% over the past 24 hours, with only 606,465 SHIB tokens transferred to dead wallets. This reduction marks the smallest amount of SHIB removed from circulation recently, highlighting a period of reduced deflationary pressure on the popular meme coin.
Despite the slowdown in burning, the total amount of SHIB burned has now surpassed 410 trillion tokens, while the circulating supply remains at approximately 584 trillion SHIB. On December 29, SHIB saw an additional burn of 5.44 million tokens, following a significant 972% growth rate in burn activity. While the current low burn rate might appear concerning, it could provide an opportunity for the protocol to reset and potentially initiate larger burn events in the near future, which may positively influence the token's price.
Source: U.Today
As the year draws to a close, the decreased burn rate serves as a crucial health check for Shiba Inu’s growth and sustainability. The correlation between SHIB’s burn rate and its market performance was evident as the token experienced a 2.66% decline in value over 24 hours and a 19.65% drop in the past month. However, there are optimistic signs of a potential rebound as the year-end approaches, with expectations that SHIB could recover and possibly reach the $0.000025 price level within the next two days. This period of reduced burn activity may set the stage for renewed growth and increased investor confidence in the coming months.