One of the leading meme coins in the crypto world Shiba Inu, attracted attention again. Today, May 6, the SHIB token experienced a significant burn rate increase of 4000%. This development has led to increasing optimism about the token’s future price movements.
SHIB, despite its recent monthly price correction, crypto- appears to be defying bearish market sentiments with a series of improvements to strengthen its initiative. Now, this dramatic increase in burn rate seen today is causing the token to trade in the green, reflecting recent bullish market statistics.
Shiba Inu Killing Rate Increased by 4000%
According to data from the Shibburn tracker, 81.64 million SHIBs were burned in the last 24 hours. This resulted in a 4085.94% increase in the cremation rate. This initiative aims to support the future market dynamics of the token by killing the supply of Shiba Inu in the market.
Especially, meme coin‘s stagnant market performance is primarily attributed to excess market supply. Regarding this, the token burning mechanism of the Shiba community burns SHIB tokens to wipe out the supply, as in the development mentioned above.
This has injected a dose of optimism into Shiba Inu’s future price movements. In context, following the law of supply and demand, the token burn mechanism could potentially lead to a time when decreasing supply significantly increases token demand and price.
Meanwhile, in line with the increase in the burn rate, SHIB was traded in the green with the impact of recent development efforts.
Shiba Inu Price Analysis
At the time of writing this news, Shiba Inu gained 1.40% in the last 24 hours. Additionally, it is currently trading at $0.00002489. The token’s weekly charts show a 6.37% increase in value, in line with the coin’s recent advances.
Notably, the token community unveiled the Heimdall hard fork for Shibarium last week, resulting in faster block processing and more predictable transaction fees. Additionally, despite the large SHIB sell-off recorded, the meme coin displayed resilience by maintaining its upward momentum.
Coinglass data added optimism to the crypto by showing a 3.33% jump in SHIB open interest. This, combined with the continued decline in SHIB liquidations, has created an optimistic frenzy for the meme coin, indicating that selling pressure is steadily decreasing.
While short-term volatility can be expected in line with broader market trends, the token is potentially poised to post significant gains over the long term in line with the developments mentioned above and post-BTC halving sentiment.
