-
SHIB Burn Rate surged 1,500% within 24 hours but price remains under pressure.
-
A single wallet burned more than 17M SHIB and fueled most of the 34M tokens that were removed.
-
The RSI and MACD indicate a weak momentum. Signs of a possible trend reversal are forming.
Burn tracking data shows that Shiba Inu token burning activity has increased dramatically in the last 24 hours. The rate of increase was over 1,500%. During this time, more than 34,000,000 SHIB tokens have been permanently removed from circulation to reduce the overall supply.
Despite the deflationary action taken, the price of the meme coins remained under pressure. This increased investor concerns over whether supply adjustments can alone drive recovery in the midst of the market’s weakness.
Where did the SHIB burns come from?
The majority of the tokens were burned from a single wallet, “0x541f60e5576”, which eliminated 17,13 million SHIB with a single transaction. The total burn for the day was now over 34.2 millions tokens.
Shiba Inu tokens are now at 410.73 trillion, and only 584.36 trillion remain in circulation from a total supply of 589.25 billion.
Related to Can Shiba Inu repeat history? SHIB tests support that triggered past rallies
Why Doesn’t the Price Follow the Burn Rate?
SHIB’s prices have not reflected this view. Although token burning is often viewed as a way to support long-term prices by reducing the supply, SHIB has not followed this trend. The token was traded at $0.00001102 and showed a 2.61% drop in the last 24 hours.
SHIB briefly reached $0.00001132, but then faced renewed selling pressure. By early April 9, the price had dropped to a low of around $0.0000102, before a slight recovery.
The market activity showed signs of contraction. The daily trading volume dropped by 34.55%, to $273 Million. This indicates a reduced level of engagement.
Shiba Inu remained at $6.49 Billion, putting it 17th in the list of active cryptocurrencies. The token supply structure remains unchanged. No new SHIB will be added to the current limit of 589.25 trillion tokens.
Technical Indicators Show Mixed Response
Technical indicators showed a mixed picture. The Relative Strength Index measured 35.14 which is slightly above the 30 mark for oversold. This indicates that the token may be approaching a level which could attract buyers, even though the RSI is still below its 14-day mean of 41.20. This points to continued weakness.
Related toShiba inu Burning Frenzy: Can This Drive SHIB To $0.01?
Moving Average Convergence Divergence, or MACD, also signals caution. The MACD line was -0.00000060 while the signal line a little higher at 0.00000043.
The negative histogram confirmed the ongoing bearish trend, but a slight narrowing of the two lines gave a hint at a possible future change in trend direction.
This site is for entertainment only. Click here to read more
