Shiba Inu Burn Rate Rockets 1100%, SHIB’s Climb To $0.00002 Imminent?
The leading dog-themed meme coin, Shiba Inu price dropped today by more than 1%, amid a dip in the broader crypto market. In addition, the meme coins sector also noted a dip, along with major cryptos like Dogecoin, PEPE Coins, and others. However, despite the recent dip, it seems that optimism still prevails on SHIB.
The Shiba Inu burn rate has surged nearly 1100% today, boosting market sentiment. On the other hand, several market trends and recent developments hint at Shiba Inu’s surge to $0.00002 in July.
Shiba Inu Burn Rate Fuels Market Sentiment
The recent downturn in Shiba Inu’s price mirrors a broader crypto market slump, with the meme coin sector seeing similar dips. Major tokens like Dogecoin and PEPE Coin also experienced declines.
However, the focus has shifted to a remarkable surge in SHIB’s burn rate, which has climbed by nearly 1100% in a single day, according to Shibburn. This surge involved the destruction of approximately 19.76 million SHIB in the last 24 hours, signaling a robust effort to reduce the overall supply.
Two significant transactions by a single address, “0xa9d….d3e43,” were responsible for burning 6.94 million SHIB each, contributing substantially to the burn rate spike. Besides, over the past week, the SHIB burn rate increased by 13%, with over 83.37 million SHIB removed from the initial supply.
Meanwhile, this effort brings the total burned SHIB to 410.72 trillion, leaving a current circulating supply of 583.33 million. The increased burn rate is a positive indicator for the SHIB community, suggesting a potential price rally. For context, the burning mechanism helps in reducing the supply from the market, which in turn raises the value of the assets.
In addition, historical data supports this optimism, with Shiba Inu showing strong performances in the July months. For instance, CryptoRank showed that SHIB surged by 11.8% in July 2023 and 13.4% in July 2022.
Having said that, if this trend continues, SHIB price could see its price reach the crucial $0.00002 resistance level, given an average rise of around 12%. However, it’s worth noting that the historical performance doesn’t always guarantee the future trading of the cryptos. For context, in July 2021, Shiba Inu price noted a slump of 28.5%.
Also Read: Top Reasons Why Bitcoin Price Could Dip To $50K
Coinbase’s Strategic Moves Enhance Optimism
Adding to the bullish sentiment, Coinbase’s latest regulatory filing hints at new opportunities for SHIB. The cryptocurrency exchange has sought approval to offer future products related to Shiba Inu and other altcoins like AVA and XLM.
The submission to the Commodity Futures Trading Commission (CFTC) includes proposals for derivatives tied to DOT, SHB, XLM, AVA, and LNK, with potential trading starting as early as July 15. Notably, Coinbase’s move aligns with its strategy to expand its derivatives market and cater to a wider investor base.
This development could enhance SHIB’s market presence and attract more institutional and retail investors. By adhering to U.S. regulatory standards, Coinbase aims to bolster its market offerings and provide robust trading options for altcoins, including SHIB.
During writing, Shiba Inu price dropped 1.3% and exchanged hands at $0.00001704, after touching a 24-hour high of $0.00001786. Over the last seven days, SHIB fell nearly 5%, reflecting the selling pressure in the market. Despite the price dip, Shiba Inu Open Interest rose 4% to $35 million, CoinGlass data showed indicating strong market interest towards the meme coin.
Also Read: Judge Torres Doctrine Stands, XRP Secondary Sales Are Not Securities
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