Shiba Inu Burn Rate Soars 108%, But Whale Activity Declines

• SHIB burn rate surged 108% this week, removing nearly 100M SHIB, signaling community efforts to reduce supply despite market uncertainty.
• SHIB’s whale-tier trading volumes have dropped, potentially limiting the token’s short-term rally due to reduced large transactions.
• Despite price gains and rising derivatives trading volume, SHIB faces ongoing volatility, with long-term growth uncertain for 2024.

The Shiba Inu (SHIB) community has increased SHIB burns. The burn rate has increased by an impressive 108.73% over the past week, with nearly 100 million SHIB removed from circulation. However, concerns linger about SHIB’s future momentum due to decreased whale activity and limited short-term buying power.

HOURLY SHIB UPDATE$SHIB Price: $0.00001712 (1hr 0.20% ▲ | 24hr 0.83% ▲ )
Market Cap: $10,075,404,437 (0.75% ▲)
Total Supply: 589,268,689,236,397

TOKENS BURNT
Past 24Hrs: 9,762,549 (-74.88% ▼)
Past 7 Days: 95,442,500 (108.73% ▲)

— Shibburn (@shibburn)
October 28, 2024

SHIB Burn Rate Hits 108% Growth

The weekly burn rate for SHIB, the second-largest meme cryptocurrency, has seen remarkable growth. A total of 95,442,500 SHIB tokens were transferred to dead addresses over the last seven days to reduce overall supply that can positively impact the token’s price. These burn transfers signify a concerted effort by the community to stabilize SHIB’s value.

However, the daily burn rate tells a different story, falling by 74.88%, with only 9,762,549 SHIB destroyed. Sunday’s burn transfer was notably low, totaling just 16,402,650 SHIB. These fluctuations reflect uncertainty among traders, as inconsistent burns make sustained price rallies challenging.

Decline in Whale Trading Volume

Alongside fluctuations in SHIB’s burn rate, whale-tier trading volumes have also fallen. Shiba Inu has temporarily exited the “trillionaire club,” with trading volumes dropping to 895.12 billion SHIB. On-chain data reveals that large transactions fell to just 44 over the past 24 hours. The decline in whale activity raises concerns about SHIB’s price stability, as whales are crucial for supporting price rallies.

Read also: Shiba Inu Burn Rate Surges 14,575%, SHIB Price Jumps on Token Scarcity

Without enough whale participation, there may not be enough buying power for significant rallies. This reduction in large transactions could hinder SHIB’s price performance.

Market Performance and Derivatives Surge

Shiba Inu’s price has seen some positive movement, trading at $0.000018. In the last 24 hours, the meme coin’s price has risen by 7.92%, with a trading volume of $529,079,908. SHIB’s market cap now stands at $10.8 billion, with a circulating supply of over 589 trillion tokens.

Source:
Coinglass

Moreover, SHIB derivatives have witnessed a surge in trading volume, increasing by 269.4% to reach $227.54 million. Open interest has also risen by 19.08%, indicating growing trader confidence. OKX traders showed bullish sentiment, with a 2.48 long/short ratio. However, volatility remains, with $510,000 in liquidations over 12 hours, mostly short positions.

Shiba Inu Price Outlook for 2024

Changellyblog experts have projected a cautious outlook for SHIB’s price in 2024. In December, SHIB’s maximum trading value is expected to reach $0.0000191, while the minimum could drop to $0.0000152. The average trading price is anticipated to be around $0.0000172. Despite recent volatility, traders remain optimistic about SHIB’s potential for growth.

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