The Shiba Inu (SHIB) token has been making headlines for its soaring burn rate, despite its relatively flat price performance over the past week and month. According to Shibburn data, the burn rate has skyrocketed by a staggering 14,506.9% thanks to a massive burn transaction of 25 million coins just a few hours ago. Two additional burn transactions, totaling 7 million coins, were recorded in the last 24 hours. This relentless burning is steadily reducing the total SHIB supply, which currently stands at 589.3 trillion coins, with 410.7 trillion already burned.
However, the price of SHIB hasn’t mirrored this burning frenzy. SHIB is down 1.4% over the past seven days. SHIB’s marketing lead, Lucie, has acknowledged this disconnect, stating that the total SHIB supply cannot be changed because the creator, Ryoshi, burned the keys and no one has control over it. She believes that the only way to reduce the supply is by buying and burning coins, which requires significant capital investment.
While the burn rate is a positive sign, the broader crypto market landscape for meme coins remains complex. Lucie highlighted the pervasive influence of market manipulation, where various players engage in their own strategies, making it challenging for meme coins to gain traction. She also emphasized the lack of adoption as a key factor hindering the growth of SHIB and other meme coins. Even recent exchange listings and Elon Musk’s tweets, which have historically caused significant price fluctuations in the meme coin space, have failed to produce the desired results.
Despite the challenges, there are some signs of optimism. IntoTheBlock data indicates a surge in large transaction volume for SHIB, with transactions exceeding $100,000 almost doubling in a single day. However, this positive trend is countered by a 21.4% decrease in daily active addresses. The emergence of new contracts on Shibariumscan, with a spike from 6 on September 16 to 18 on September 17, could potentially indicate growing interest and development activity surrounding the Shiba Inu ecosystem.
The future of meme coins like SHIB remains uncertain, with challenges related to market manipulation, lack of adoption, and unpredictable price swings. The upcoming Benzinga’s Future of Digital Assets event on November 19 will likely delve into the influence and potential of meme coins in the evolving crypto landscape.
