Shiba Inu (SHIB) has seen a significant surge in its burn rate, rising by 12.11% in the last 24 hours. According to Shibburn data, over 3 million SHIB tokens were permanently removed from circulation. This deflationary move has rekindled community hopes for a price recovery. However, the token's price remains volatile, dropping 3.22% from a high of $0.000006888 to a low of $0.000006436 in the same period.
Burn Data and Price Action
At press time, SHIB is trading at $0.000006636, down from its intraday peak but showing a 9% weekly increase. Trading volume, however, declined sharply by 28.97% to $165.03 million, reflecting reduced market participation. The burn rate acceleration marks a positive shift after weeks of minimal or zero burns, but the broader meme coin sector is struggling, with market capitalization dropping over 30% as investors rotate to safer assets.
Is Burn Rate Enough for a Full Recovery?
The community views the burn rate as a stabilizing force, but analysts caution that a sustained recovery requires more than token burns. A rebound in trading volume and price stability are essential for maintaining upward momentum. While the burn increase has provided temporary relief, SHIB's future depends on broader market participation and sentiment. Without a resurgence in demand, the token may continue to trade in a narrow range of $0.0000064-$0.0000069 in the near term. Investors should watch burn activity closely alongside volume trends for signs of a true turnaround.