High burn activity continues in the second largest meme coin. However, more than 24 million users in the last 24 hours Shiba Inu The coin has been removed from circulation.
SHIB Burning Continues, What Was the Price Reaction?
According to a recent X post, burned supply exceeded the previous day’s figures by more than 90%. 798 million tokens were removed from circulation during the week, an almost fourfold increase compared to the previous week.
Token burn crypto- attracted the attention of enthusiasts. Because most projects are trying to remove coins from circulation for long-term value appreciation. Incineration creates a supply shock that, when paired with strong demand, can increase prices.
However, according to CoinGecko, SHIB has not benefited much from this situation recently. In this context meme coin It lost 20% of its value during the week. This indicates that the demand for the asset is not very strong.
According to data from Santiment, the daily number of unique addresses involved in SHIB transactions dropped by more than 50% during the week. In addition, the rate at which new addresses are created has also slowed down significantly. Approximately 862 new addresses were created on April 17 alone. That’s less than half the number a week ago. The low network growth rate meant that the coin was not gaining enough traction.
SHIB in Derivatives Markets
The price drop also reduced speculative interest in the coin.
Using data from Coinglass, he found that Open Interest (OI), or money locked in outstanding Shiba Inu futures contracts, was down 38% for the week and more than 55% since the month began.
However, most derivatives traders took a bullish position on SHIB. Because as of this writing, the Long/Short Ratio remains above 1.
