Shiba Inu Burn Rate Rockets Over 7000%, SHIB Breakout Ahead?

The Shiba Inu burn rate has again fueled substantial market optimism across the crypto landscape, witnessing a whopping 7200% surge on Friday. As over 1 billion tokens were removed from the asset’s circulating supply in the past 24 hours, a bullish market sentiment bubbled the meme-themed asset. Further, with on-chain metrics reflecting strong market support for the crypto, an upshot is that investors eye SHIB price gains ahead despite the current market volatility ahead of the U.S. PCE inflation data release.

Shiba Inu Burn Rate Skyrockets 7200% As Nearly 1Bln Tokens Destroyed

As per the latest data by Shibburn, the Shiba Inu burn rate witnessed a whopping 7240% uptick on January 31. This massive upswing is primarily attributed to the removal of 1.1 billion tokens from the circulating supply.

Notably, the wallet address 0xc7d04.. appears to be responsible for the lion’s share in the intraday burn rate upsurge, sending slightly over 1 billion tokens to a null address. Further, with the massive spike weighing in, the weekly burn rate for the meme coin jumped 2506%. In turn, the SHIB circulating supply at the time of reporting shredded and reached 584.25 trillion tokens. Overall, the massive blow to the asset’s supply has reverberated market optimism, mirroring the law of supply and demand.

Recent Community Advancement Bolsters Market Sentiment

Further, the recent launch of ShibOS remains a hot topic across the Shiba Inu community. The recently introduced blockchain-based platform offers users a smooth Web2 to Web3 transition for various use cases. This chronicle has aided the meme coin in broadening its horizon, thereby attracting further market attention.

Can SHIB Price Breakout Amid Burn Surge?

At the time of reporting, SHIB price traded at $0.00001866, showcasing a highly turbulent intraday movement. The top dog-themed meme coin’s intraday bottom and peak were recorded as $0.0000185 and $0.00001896, respectively.

It’s noteworthy that the token faces a critical resistance at the $0.000019 level. Nevertheless, the massive Shiba Inu burn rate surge has uplifted the market sentiment for the asset despite the broader sideways price movement.

On-Chain Metrics Signal Strong Market Support

Renowned crypto market enthusiast Zach Humphries has posted on X, spotlighting bullish metrics for the meme token. Almost 74% of Shiba Inu holders have held onto their holdings for over a year, underscoring retained market interest in the asset despite price fluctuations.

Further, nearly 47% of holders are making returns on the current price level. However, if these holders decide to sell ahead for profit-booking, volatility in price may be expected moving ahead. Nevertheless, current stats reflect a highly prominent market stand for the meme coin, with the Shiba Inu burn surge injecting additional bullishness on future prospects.

Crypto Market Faces Turbulence As PCE Inflation Data Looms

It’s noteworthy that Shiba Inu’s price action currently aligns with the broader crypto market trend. As the U.S. PCE inflation data for December looms to be released on January 31, Bitcoin and altcoins flux. Nevertheless, the recent SHIB burn data and broader community advancements continue to garner optimism about the token’s long-term prospects, flagging a bullish breakout ahead.