The meme cryptocurrency Shiba Inu has experienced a notable price increase in the last day, aiming to exceed the $0.000020 threshold. This rise indicates some positive investor sentiment, but an examination of on-chain data reveals a more intricate situation.
On-chain insights show that this optimism may not be universal, especially regarding SHIB burning activities. Currently, the data indicates that SHIB burns have significantly decreased by around 95%, suggesting that the enthusiasm for Shiba Inu may be slowing down or even diminishing.
Significant Drop in SHIB Burns
Data from Shibburn.com reveals that 1.72 million SHIB tokens were burned in the last 24 hours. While this figure appears substantial, it represents a drastic 95.22% drop compared to the previous day’s burn volume.
This substantial decline in the number of Shiba Inu tokens burned signals weak burn activity, as per detailed stats from Shibburn.com. The tracker indicates that only two wallet addresses were involved in the burns yesterday, a sharp reduction from the typical number participating in burn activities, pointing to a general decrease in community engagement with SHIB burns.
The bulk of the burned SHIB tokens came from the wallet “0xa9d1e,” which contributed 1,250,000 SHIB to the official burn address BA-2. Another address, “0x2901,” added 474,747 SHIB to the burn address BA-1, bringing the overall total burned to 1,724,747 SHIB.
Implications for SHIB Price
The SHIB burn data serves as a valuable metric for gauging sentiment towards the meme coin. Bullish market conditions are typically reflected in increased SHIB burning activity, as traders burn tokens to elevate the cryptocurrency’s value. Conversely, bearish conditions often show decreased or stalled burn activities. Therefore, this recent drop in burns might suggest a temporary retreat in interest and commitment to SHIB’s burn efforts.
Nevertheless, the slump in Shiba Inu burns does not automatically predict negative outcomes for SHIB’s price. Over the last 24 hours, SHIB’s price has remained fairly stable, showing a 2.8% increase.
As of this writing, SHIB is trading at $0.00001913, having peaked at $0.00001943 during the day. This upward movement could create the necessary momentum for SHIB to breach the $0.000020 mark as the weekend approaches.
Conversely, there is a risk of downward movement. If the current momentum falters, SHIB’s price may drop below $0.000019, potentially testing the support level around $0.0000185.
