Highlights:
- On June 6, SHIB’s burn rate increased by nearly 3900%, according to Shibburn.
- The burn rate spike coincided with significant purchases by the whales.
- However, recent trends show SHIB struggling to maintain its growth, with statistics heading downward.
Cryptocurrency is a highly volatile area of interest. Every day, there are stunning growths and recessions. However, very few such fluctuations can deliver the enthusiasts the intensity of the shock that Shibu Inu has delivered recently. According to Shibburn, Shiba Inu’s burn rate increased by almost 3900% on June 6. This occurred while SHIB’s price remained stable. The spike in the burn rate happened at the same time as large investors, or “whales,” bought a lot of SHIB. Two whales purchased over $35 million worth of SHIB in just 24 hours.
The Whale Accumulation and Burn Rate
The increase in SHIB’s burn rate and whale buying has given traders and investors hope for a potential SHIB rally. The surge in SHIB token burning has excited the crypto community. By reducing the total supply of SHIB, the burn rate might increase the token’s value. Around July 6, SHIB’s burn rate went up by 3894.73%, according to Shibburn. During this time, the Shiba Inu community burned 4.89 million SHIB tokens in several transactions. One wallet made a notable contribution by burning 4.03 million SHIB tokens in a single transaction. This wallet, with the address 0xc55…, played a key role in reducing the supply.
Other community members also burned smaller amounts of tokens, further increasing the burn rate. These efforts have led to a total of 410.72 trillion SHIB tokens burned. This reduction in supply could potentially raise SHIB’s price. Meanwhile, nine wallets owned by SHIB whales spent $35.2 million, buying 1.356 trillion SHIB at an average price of $0.00002596 during that time. This large investment shows the growing confidence in SHIB’s future potential.
Effect on Shiba Inu The Price
Despite sideways price action, SHIB managed to stay above the important $0.000025 level. Analysts believe that if SHIB continues to trade above this level, it could rise to $0.00003 in the short term. If bullish momentum continues, SHIB might reach $0.00005 and possibly the ambitious target of $0.0001. Currently, SHIB/USDT is trading at $0.00002511, which represents a 1.78% drop on June 6.
The market cap of SHIB is $14.83 billion, with a trading volume of $309,843,195. Shiba Inu’s burn rate has dramatically increased, and significant whale buying has occurred. This indicates strong market interest in SHIB. The reduced supply from the high burn rate could drive up SHIB’s price, making it a cryptocurrency worth watching.
Final Words
Therefore, the fact that SHIB increased at a stunning rate on and around 6th June is an indication of the popular interest. However, while it is important to grow in the crypto world, one also needs to maintain the growth level. If we look at the recent trends, then it is apparent that SHIB has failed to maintain its growth, as the statistics are heading downward. While this can never be a welcoming sign, the crypto community is hopeful. The rest remains for time to answer.
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