Latest News on Shiba Inu Coin Burn Rate offsets the volatility caused by whale activity, or is a significant price drop inevitable?
Recently, the price of Shiba Inu (SHIB) coin has fallen sharply due to activity from large investors (whales) and a big increase in its coin burn rate. This article delves into the latest news on Shiba Inu, analyzing, how whale transactions and the increased burn rate may trigger a massive price fall for SHIB.
Whale Manipulation: SHIBA Inu Price May Drop!
Shiba Inu’s price surged recently due to increased activity on the Shibarium network a layer-2 blockchain created by its developers. On September 26, 2024, transaction fees on Shibarium soared by over 1,500%, showing that more people are using the network. The number of transactions rose from 2,186 earlier in the month to 8,025, which helped increase SHIB’s price by 6.55%, reaching $0.000017.
These higher fees also boost SHIB’s value because some of the fees are used to buy back and burn SHIB tokens, which reduces the total supply, and we all know when total supply decreases then it is not good for the cryptocurrency hence analysts suggest that to balance its value Shiba inu whales will flood SHIB tokens into various exchanges. This may create a downtrend for its price.
The latest News on Shiba Inu was yesterday, after a big surge, the price and trading volume of Shiba Inu (SHIB) fell by 5% in a short time because of increased buying. This activity from large investors can be seen on the price chart of this 13th largest cryptocurrency.
Today, SHIB’s price is down more than 5%, likely because whales have been selling the token again, pushing it above $0.000019. However, this transaction activity and transaction flactuation raises concerns that Shiba Inu’s price can face a huge drop in the future. Whether this trend will continue or where it will lead to the price of Shiba Inu remains uncertain.
What is Shiba Inu Coin Burn Rate And How It Affects Price?
The Shiba Inu coin burn rate happens when tokens are taken out of circulation for good. This reduces the total number of SHIB tokens available. It is important because having fewer tokens can make them more valuable. When there are fewer tokens, more people may want to buy them.
Recently, the burn rate for Shiba Inu has risen significantly, which usually indicates positive market activity. However, even with a 680% increase in the burn rate, the price of SHIB has been going down because large transactions by whales are causing instability in the market.
Whale Activity Spotted! Beware SHIB Investors
Whales, or large investors who own a lot of SHIB, have been moving their assets around, causing big changes in the price. Recently, there was a sharp increase in whale transactions with Shiba Inu, which led to a sell-off and a noticeable drop in the token’s price.
According to on-chain data, Shiba Inu’s whale activity spiked by 240%, causing the market to react with increased volatility. These large transactions can cause price drops as they often involve the liquidation of large positions. This has led to a sharp decline in SHIB’s market value, even as the coin burn rate continues to rise.
Impact of Shiba Inu Coin Burn Rate on the Market
Even though the price dropped because of the sell-off by whales, the rise in Shiba Inu’s coin burn rate is likely to help the price in the future. As more tokens are burned, the total supply of SHIB decreases. This could lead to a price increase over time, as demand grows faster than supply.
The Shiba Inu coin burn rate hit a new peak, with over 5.5 million SHIB tokens burned in the last 24 hours. The burning mechanism is supported by the Shibarium network, where a portion of transaction fees is used to burn SHIB, thereby decreasing its supply and theoretically increasing its value in the future. Less Token more value, More token less value.
Latest News on Shiba Inu Coin Price Movements
Shiba Inu’s price dropped a lot after it fell below an important support level. Right now, Shiba Inu’s price is about $0.000019, which is lower than its recent high, The activity from big investors (whales) and the rise in the burn rate have made the SHIB market quite unstable. However, SHIB has broken through important resistance levels before, so there is still a chance for recovery if market feelings change, Investors are being careful and are watching what the big investors are doing and how the market responds to the rising burn rate.
Is It the Right Time to Buy Shiba Inu Coin?
The rise in the Shiba Inu coin burn rate, along with increased activity from large investors (whales) has caused a lot of ups and downs in the SHIB market, While the higher burn rate means there are fewer coins available. Which could lead to future price increases, the recent sell-off by whales has created some uncertainty.
In the long run, the reduction in SHIB’s supply through the burn mechanism could lead to a price increase. However, investors need to monitor whale activity closely, as it can trigger more unexpected price swings.
As Shiba Inu continues to see increased burn rates and market interest, it remains a token to watch for both short-term fluctuations and long-term growth potential. For the latest update on Cryptocurrency and the Latest News on Shiba Inu Coin visit CoinMozo on X.
