Shiba Inu price action has been on a consolidation activity since the beginning of the week. However, the Shiba Inu community has seen an increase in SHIB burn activities over the past 24 hours, increasing the burn rate by more than 2,700%. This means that SHIB holders are sending large amounts of meme coins to untraceable wallets, reducing the total supply amid attempts to drive up the price.
Shiba Inu burn rate skyrockets in 24 hours amid SHIB fall
SHIB tokens are typically burned sporadically, and any investor can burn the tokens by sending to one of three SHIB burn addresses. Shiba Inu team members have increased sensitization efforts in recent months to increase the burn rate of community members.
According to information from Shibburn, the official SHIB burn tracker, the Shiba Inu burn wallet has seen an influx of burn transactions over the past day. These events resulted from four major transactions, in which a maximum of 13,140,241 SHIB tokens were burned in one go from the address “0xa034”. As a result, the SHIB burn rate increased by 2,752% and a total of over 14.8 million SHIBs were burned. This is in stark contrast to the previous day’s data, which revealed approximately 2.5 million SHIB tokens sent to burn addresses.
The Shiba Inu team has been particularly active in terms of SHIB burns, burning a total of 33.8 billion tokens across four transactions this month. In all, the SHIB community has removed 410.69 trillion tokens from the initial SHIB token supply. At the time of writing, the circulating supply of Shiba Inu is 581 million tokens.
SHIB’s market capitalization is currently $6.146 billion. Chart: tradingview.com
SHIB trades in a limited range
On the other hand, SHIB has been trading inside a narrow price range for almost a week, with the overhead resistance at $0.000011 and support at $0.00001067 being the two main points of contention. There has been a relatively lack of reaction to token burn this week, as the cryptocurrency is currently trading at $0.00001054, a decline of 1.5% over the past seven days. According to data from IntoTheBlock, 37.26% of addresses are in profit at the current price, compared to 42% profitability last week.
The larger 30-day timeframe shows that SHIB has reacted mostly positively to the team’s large token burn. The second loss of 8.6 billion SHIB caused the crypto to surge for a few days, taking its price to $0.00001165 on December 17. Despite the recent correction this week, the token still holds on to 28.53% of its monthly gains.
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