The recent token burns of Shiba Inu [SHIB] have demonstrated a significant increase, with more than 300 million tokens being burned. Within the last day, the token burns have noticeably surged even as the price of Shiba Inu continues its decline.
Significant Surge in SHIB Token Burns
Within the past week, over 300 million Shiba Inu tokens were subjected to burns. Based on the most recent data, the removal of more than 324 million tokens from circulation signifies a rise of over 1,000% compared to the previous week.
The momentum of burning activities has remained robust, with a remarkable 6,700% surge noted in the last 24 hours alone. During this timeframe, an additional 27 million SHIB tokens were eliminated, bringing the total burnt tokens to around 410.7 trillion. Despite the substantial token burns, this value remains relatively small in relation to Shiba Inu’s overall supply.
Steady Address Activity amidst SHIB Token Burns
Despite the escalating SHIB burns, data analysis indicates that there has been no substantial increase in address activity related to Shiba Inu. According to insights from Santiment, the number of active addresses over a seven-day period has maintained stability, hovering at approximately 20,000.
While there was a minor surge on October 21st to over 21,000 addresses, it quickly reverted to normal levels thereafter.
Similarly, daily active addresses have shown minimal fluctuation, consistently ranging between 3,700 and 3,800 recently. Despite a slight uptick on October 21st to over 3,900 addresses, this marginal change did not align with the surge in SHIB burns.
The consistent address activity signifies that the heightened token burning activity is not being driven by an increase in active network users. It also suggests that the recent burns are not necessarily tied to any spike in transactions or on-chain activities.
Continued Downward Trend in Shiba Inu’s Price
Despite the surge in SHIB Burns, the price of Shiba Inu has continued its downward trajectory in recent days.
What initially began as a 3% decrease has now extended to an additional 1.7% drop. This indicates that the increased token burns are not directly correlated with a positive impact on SHIB’s market price at present.
Even though the Relative Strength Index (RSI) indicates that Shiba Inu is still in a bullish phase, the weakening RSI suggests a loss of momentum in this trend as well.
At present, the RSI hovers close to the neutral line, reflecting prevailing market uncertainty.
While the ongoing token burns are steadily reducing the circulating supply, their influence on price movements and address activities remains relatively insignificant. The persisting decline in Shiba Inu’s price implies that other market factors are currently steering overall sentiment.