The burning rate of Shiba Inu increases by 800% as more than 6M tokens are removed from the supply, sparking speculation of a SHIB price recovery.
On Monday, the Shiba Inu burn rate experienced another remarkable 800% increase, which prompted a modest rise in investor optimism despite the recent market decline that preceded the FOMC meeting. In the last 24 hours, approximately 6 million tokens were removed from the circulating supply of the meme coin with a dog theme. However, the future prognosis is uncertain due to the 5% intraday decline in the SHIB price resulting from a broader market downturn.
The burn rate of Shiba Inus increases by 800% as a result of the destruction of 6 million coins
The Shiba Inu burn rate witnessed an intraday increase of 856%, according to the most recent data provided by Shibburn on X. Notably, the surge above has been sparked by the withdrawal of 6.27 million tokens from the circulating supply.
To provide context, the SHIB token burn mechanism permanently reduces the circulating supply of the currency, resulting in the transfer of tokens to a null address. Subsequently, traders anticipate profits by the law of supply and demand.
The cryptocurrency market is experiencing a decline ahead of the Federal Open Market Committee’s meeting
Nevertheless, the meme coin has defied the typical market sentiments due to the current broader market decline. It is important to note that the meme crypto market experienced a significant decrease in movement on Monday, which was consistent with the broader cryptocurrency prices. Market participants are cautious toward risk assets in anticipation of the January 29 FOMC. This adverse momentum is present.
Additionally, the crypto market experienced substantial liquidations, further exacerbating the price fluctuations. Despite the recent Shiba Inu waste rate increase, these factors have resulted in intraday price volatility.
What is the future of the SHIB price?
The price of SHIB has experienced a 10% decline in value and is currently trading at $0.00001796 at the time of reporting. The intraday low and high were $0.00001795 and $0.00002006, respectively. A renowned crypto market analyst, Ali Martinez, has disclosed that the token’s most critical support zone is the $0.0000185 to $0.0000212 range.
Investors are still apprehensive, as the current price level is significantly below this range despite the recent increase in the Shiba Inu combustion rate. Nevertheless, a recent Shiba Inu price analysis conducted by CoinGape revealed that the top holders had amassed nearly 30 trillion tokens, which has sparked optimism regarding future movements.
Amid the market crash, LUCIE, the marketing lead for the meme coin, has turned to X, asserting that “The Shib Ecosystem is still building strong.” This statement has been infused with optimism, suggesting imminent advancements. Therefore, market participants continue monitoring the token for additional price fluctuations as the FOMC is imminent and the ecosystem prepares for future developments.
