While Bitcoin is facing a downfall, so do other currencies including meme coins like Dogecoin and Shiba Inu. Shiba Inu has recently emerged as the most talked about cryptocurrency in the system.
One of the reasons for SHIB to gain such traction is due to its token-burning campaign which has reached new heights. As per the reports, Shiba Inu has burnt nearly 200 million coins in just a day. The SHIB Burn data also suggests that the token’s burn rate has jumped by 3000% within the last 24hrs.
It’s also important to note that it’s the individual whale accounts through which the majority of SHIB tokens have been transferred to Shiba Inu’s burn wallet. Since the start of September the burn rate has seen a spike and this week alone more than 500 million tokens have moved out of circulation. If this continues, in the coming days the burn rate might peak at 5000%.
Additionally, while the meme currency is experiencing an immense burn rate, Shiba Inu is also seeing huge investments dropping from individual whale accounts. Also in the last week, two whales have acquired the millions worth of Shiba Inu. Etherscan reports that the first whale made a purchase of 702 billion SHIB coins which is worth $8.7 million and another whale bought 541 billion tokens which are worth nearly $7 million.
Increasing Burn Rate To Influence SHIB Price?
At the time of writing, Shiba Inu is selling at $0.0000121 after a drop of 0.28% in the last 24hrs. Amidst the ongoing bear market, SHIB has portrayed quite a well price action as the currency has jumped by 93% in the span of 1 yr.
By the end of October 2021, Shiba Inu managed to hit an all-time high of $0.00004217 but it couldn’t hold on for long and began to plunge. However, still, the question remains unanswered whether the spike in burning will push the SHIB price.
Shiba Inu holds a target of burning trillions of tokens and with the pace at which the burn rate is happening, it appears that it’s much closer to the target. Also, the token developers are looking out for more creative ways of burning the tokens.
However, only the burning mechanism is not enough to fuel Shiba Inu’s price action as there are many other challenges to overcome.