Shiba Inu (SHIB) Makes Great Moves: Here's What's Driving the Excitement

Shiba Inu (SHIB) has been making waves in the crypto market, and one of the key developments that has gotten investors excited is a massive spike in its burn rate. Here's a closer look at what's happening and how it's impacting SHIB's price.

Shiba Inu Burn Rate Surges 1500%

The Shiba Inu community saw an extraordinary 1500% spike in the token's burn rate this week. According to data from Shibburn, over 33 million SHIB were burned in a single day on December 3.

This burning mechanism permanently removes tokens from circulation, which can boost the token's value. In total, Shibburn reports that around 44.03 million tokens were burned in the last seven days.

On an annual basis, ShibBurn shows that the number of tokens destroyed last year increased tenfold, with around 44.62 billion burned across 143 transactions. Notably, December alone saw 2.67 billion burned tokens. These consistent burns highlight SHIB's status as one of the memecoin market's promising players.

Dormant Whale Activity Spells Bullish Action

In a recent tweet, LookOnChain reported that a dormant SHIB whale recently withdrew 220 billion tokens from Binance on January 1. This move suggests that the whale in question was opting for a long-term holding strategy, rather than selling their SHIB for short-term gains.

This activity could bode well for the broader Shiba Inu market, as large-scale withdrawals like these often indicate increased trust from investors. Such trust can lead to sustained demand and, ultimately, price appreciation.

Shiba Inu Price Impact: A Modest Rise

These developments have had a moderate impact on SHIB's price, which currently sits at around $0.00002328 at the time of writing. This price marks a 2% increase in the last 24 hours before writing, and a 4.6% rise in the last seven days.

The memecoin's trading volume has also surged by 22% to $510 million, according to CoinMarketCap. However, despite these price increases, SHIB is still down by around 23% on the monthly chart. This decline was largely due to the broader market downturn late last year.

The Broader Market Shows Signs of Recovery

As of January 3, the global crypto market was up by 0.38% in the last 24 hours, bringing the total market cap to $3.42 trillion.

Out of this recovery, the memecoin market emerged as a standout performer with a 10% surge in the last three days and a total market capitalization of $103.5 billion.

This broader market recovery, coupled with SHIB's resurgence, could lead to further growth in the coming months.

Shiba Inu Ecosystem Developments

Beyond the burning activity, there are other interesting developments unfolding in the SHIB ecosystem.

According to the community's lead developer, Shytoshi Kusama, the TREAT token is still set to launch, which is expected to bolster the ecosystem. TREAT will complement ongoing initiatives like SHIB burns and community-led projects as SHIB eyes a collective effort to reach the $0.001 price point.

Could SHIB Hit $0.001 in 2024?

This question has been on the minds of many SHIB investors, especially with the token’s price showing signs of recovery. While there is no guarantee in the volatile crypto market, several factors could contribute to SHIB's ability to hit the coveted $0.001 mark.

These include the community's burning efforts, new ecosystem developments, and broader market trends. If SHIB continues to gain momentum and these factors align favorably, we could see the memecoin hit new price milestones in the future.