In the past 24 hours, Shiba Inu (SHIB) experienced a sharp price drop. However, while key metrics like price fell, the SHIB burn rate saw a significant 226% increase. This suggests that despite the downturn, some SHIB community members still have confidence in the token.

Over 2.6 Million SHIB Tokens Burned

This increase in the burn rate has resulted in more than 2.6 million SHIB tokens being transferred to dead wallets. So far, the total number of SHIB tokens burned has reached 410,730,847,872,516. As a result, only 583,510,191,328,126 tokens remain in circulation.

_{Source: Shibburn}

Although the number of burned tokens seems small compared to the total supply, the steady growth in the burn rate helps sustain a positive outlook within the SHIB ecosystem. 

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This gives potential investors reason to hold onto their investments or consider buying more tokens. Currently, Shiba Inu’s price stands at $0.00001583, marking a 5.86% decrease in the last 24 hours. The token has fluctuated within a wide range, reaching a high of $0.00001702 and a low of $0.00001569 during this period before stabilizing at the current price.

Burn Rate May Support SHIB’s Price Stability

The rising burn rate could play a crucial role in preventing Shiba Inu from dropping below its $0.000015 support level. If this support holds, the token could experience a rebound, potentially removing another zero from its price.

Related article: Shiba Inu Burn Rate Surges as 2.37 Billion SHIB Tokens Removed in September

Despite the burn rate boost, a solo rally for Shiba Inu appears unlikely. The token’s price movements closely align with the broader crypto market. Bitcoin’s struggle to stay above $61,000 and ongoing uncertainty in XRP’s legal battle with the SEC make a long-term recovery for SHIB less probable. 

However, if the overall market conditions improve, SHIB could benefit from a rapid rally fueled by its inherent volatility.