Shiba Inu Burn Rate Spikes 656% as SHIB Struggles to Rebound

Key Highlights

656% surge in SHIB burn rate, with 16.7 million tokens permanently removed in 24 hours.
3.27% price drop offset by 15% rise in trading volume, indicating sustained investor interest.
Over 4.8 trillion SHIB staked as xSHIB, reflecting long-term holder confidence.

Recent on-chain data reveals intensified efforts by the Shiba Inu ecosystem to reduce token circulation, sparking discussions about SHIB’s future trajectory.

On-Chain Burn Activity Breakdown

Shibburn’s tracking shows four key transactions accelerating SHIB’s deflationary model:

May 6: 146,543 SHIB burned from wallet 0x8b15…d4282.
May 5: Three separate burns totaling 5.6 million SHIB from addresses 0x541f…886e0, 0x7c58…08ccc, and 0x811b…954f.

👉 Explore real-time SHIB burn analytics

Cumulative Impact:

410 trillion SHIB burned since inception.
Current circulating supply: 584.4 trillion (out of 589.2 trillion total supply).

Market Response & Price Analysis

Despite the burn rate spike, SHIB’s price dipped to $0.00001262 (-3.27%). However, key metrics suggest underlying strength:

Trading volume up 15.64% to $140.36 million.
Staking activity remains robust, with 4.8 trillion SHIB locked as xSHIB.

Community Sentiment:
The launch of Shibarium’s DappStore (April 25) previously drove a 9% price surge, but current trends highlight a focus on long-term scarcity over short-term gains.

FAQ: Shiba Inu Burn & Market Dynamics

Q1: How does burning SHIB tokens affect its price?
A: Reducing supply can increase scarcity, potentially boosting value if demand remains steady.

Q2: Why did SHIB’s price drop despite the burn rate spike?
A: Short-term market fluctuations often overshadow deflationary measures; volume growth hints at accumulating interest.

Q3: What’s the significance of staking xSHIB?
A: Staking indicates holder commitment to long-term participation, reducing sell pressure.

Strategic Outlook

Shiba Inu’s consistent burn strategy and high staking rates signal a community aligned with scarcity-driven growth. While immediate price rebounds are elusive, the foundation for sustained valuation increases appears intact.

👉 Stay updated on SHIB’s latest developments

Market Disclaimer: This analysis is for informational purposes only. Always conduct independent research before investing.