Shiba Inu records quick burn rate, but price fails to respond

Shiba Inu is one of those meme coins that has managed to maintain its popularity in the crypto market because its community is committed to reducing the asset’s circulating supply. Thus, a significant increase in the rate of SHIB burning has been recorded in the last 24 hours. However, SHIB price is having difficulty maintaining this burn rate.

SHIB burn rate increased by 540%

According to the Shiba Inu burn tracking website, shiburnTremendous burn was observed in SHIB burn rate in the last 24 hours. In total, over 78 million tokens were burned, representing a 542% increase in the burn rate compared to the previous day.

hourly shib update$SHIB Price: $0.00000776 (1 hr 0.22% ▲ | 24 hr 1.32% ▲ )
Market Cap: $4,579,871,751 (1.35% ▲)
Total Supply: 589,349,600,558,222

tokens burned
Last 24 hours: 78,248,958 (546.18% ▲)
Last 7 days: 233,385,451 (-78.87%▼)

— Shiburn (@Shiburn) 4 July 2023

Now, it’s important to note that this burn rate is remarkable because it follows several days of low burn rates. In fact, Meme Coin started the new week with a massive drop in burn rate. Shiburn data shows that over the past seven days, the SHIB burn rate has decreased by 78.87%.

This signals a return to positive momentum for the burn rate, which is helping to permanently remove the token from circulation. Additionally, it also shows that Shiba Inu investors are turning more positive towards the token burn, which could help the price to recover.

SHIB price down over 90% from ATH | Source: SHIBUSD on TradingView.com

shiba inu price failed to follow burn rate

The price of the digital asset has yet to react in any way, despite a sharp increase in the Shiba Inu burn rate over the past day. SHIB is still lagging, posting losses even at a time when digital assets like bitcoin and ethereum are on the rise again.

SHIB is now one of the worst performing coins if its current price is compared to its all-time high. Mem coin is now down almost 91% from its all-time high price in 2021, with most investors facing losses on their holdings.

However, the cryptocurrency is doing well compared to its cycle low. After hitting its lowest point in this cycle on June 10, it is up 34% from that level, though that has barely made any difference to its investors’ losses.

At the time of this writing, SHIB is trading at a price of $0.0000076, according to data from Coinmarketcap. Its market cap has declined sharply this year, falling to $4.52 billion, making it the 19th largest cryptocurrency in the region. The daily trading volume of SHIB currently stands at $115 million, up 3.24% from the previous day’s figure.