The Shiba Inu (SHIB) burn rate is again the focus, as it experienced a significant decline just a day after recording a massive spike in burn rate activity. This has undoubtedly raised concerns, considering how vital these token burns are to the SHIB ecosystem.
Shiba Inu’s Burn Rate Declines By 99%
Data from the burn tracking website Shibburn shows that Shiba Inu’s burn rate has declined by 99.5% in the last 24 hours. This is in stark contrast to the previous day, when it rose by 18,000%. However, it is worth noting that this increase was primarily due to one transaction with a particular address burning 650 million SHIB at a go.
Since then, only just over 3.2 million SHIB tokens have been burnt, which explains the massive drop in the burn rate. Specifically, this drop can be attributed to the decrease in SHIB trading activity in the last 24 hours. Data from CoinMarketCap shows that SHIB’s trading volume declined by 35% during this period.
The decline in trading activity is likely due to the bearish sentiment in the crypto market, as uncertainty looms over the future trajectory of crypto tokens, including SHIB. This uncertainty has been largely brought about by the increased tensions between Iran and Israel over the weekend, which have already significantly impacted the market.
Amidst this downward trend, the silver lining is that additional data from Shibburn shows that Shiba Inu’s burn rate is up by over 271% in the last seven days. This proves a sustained momentum in the amount of SHIB tokens burnt over a longer stretch. This momentum could be crucial in this bull run especially as the demand for the meme coin increases.
Shibarium Adoption On The Rise
Clifford, a member of the SHIB community, recently drew the community’s attention to the notable increase in the number of wallet addresses on Shibarium. Clifford noted that the layer-2 network has added over 209,000 wallets in the last two days. The total number of addresses on the network stood at over 1.6 million when Clifford made this revelation. Interestingly, that figure has increased to 1.78 million since then.
The increase in Shibarium’s adoption is also evident in its daily transactions, which have picked up since recording a recent low of 5,360 on April 10. This figure has risen since then, with the network processing a recent high of 419,000 transactions on April 14. The increase in Shibarium’s network activity is a welcome development as it could also help boost SHIB’s burn rate.
SHIB price at $0.000023 | Source: SHIBUSDT on Tradingview.com
Featured image from Times Tabloid, chart from Tradingview.com