The virtual currency landscape is buzzing with excitement as Shiba Inu, a popular meme coin, exhibits a significant rebound in its price following Bitcoin’s breakthrough above a psychological threshold of $100,000. This recent development has led to a dramatic surge in Shiba Inu’s activity over the last few days, as indicated by Coinmarketcap data which suggests a 21.2% increase in the trading volume of Shiba Inu in the past 24 hours.
Remarkable Uptick in Shiba Inu’s Large Transaction Volume
In addition to the increase in general trading activity, Shiba Inu has reported a substantial rise of 40% in large transaction volumes over the past day. On-chain data from the blockchain analytics firm IntoTheBlock has brought this interesting trend into the limelight. IntoTheBlock’s large transaction volume and USD metric, which monitors transfers exceeding $100,000 on the blockchain network, has been instrumental in bringing this development to the surface. This metric gives a significant insight into the current sentiment of large-scale investors or ‘crypto whales’, in the world of cryptocurrencies.
Per the information gleaned from IntoTheBlock, the volume of these large Shiba Inu transactions totaled 1.49 trillion SHIB in the past 24 hours. Despite appearing smaller in comparison to some prior 24-hour periods, this represents a significant departure from the trend of reduced whale activity that had been observed since January 3. The figure also indicates a 37% increase in volume from the preceding 24 hours, which stood at 1.09 trillion SHIB.
When it comes to value, the collective worth of large SHIB transactions over the past day amounts to a hefty $35.7 million. This represents a healthy 38% increase from the preceding 24 hours, where the figure stood at $26 million. Such a rising trend bodes well for the future price of Shiba Inu and may be indicative of a forthcoming influx of investment into the meme coin in the days ahead.
SHIB’s Burn Rate: A Dismal Decline by 71.5%
In a contrasting development, there has been a marked decline in the SHIB burn rate despite the uptick in the coin’s trading volume. The burn mechanism, designed to enhance SHIB’s scarcity by reducing the circulating token supply, serves as an equally significant metric of activity, much like the large transaction volume.
According to the SHIB burn tracker, Shibburn.com, a total of 8,738,201 SHIB tokens were incinerated in the past 24 hours. This contrasts starkly with the over 31 million SHIB tokens that were burned in the previous 24 hours. This significant downswing could potentially indicate a slow down among SHIB holders, which may negatively impact the coin’s price over the short term. However, it would be wise to monitor how the SHIB burn trend progresses over the next 24 hours. The prevailing trading volume activity hints at a potentially swift bounce back in SHIB token burn activities.
At the time of writing, Shiba Inu is trading at $0.00002399, reporting a 16% increase over the past week.
FAQs
What is Shiba Inu?
Shiba Inu is a decentralized cryptocurrency, which was introduced to the crypto world as a meme coin. It has since gained significant popularity due to its potential for profitability and engagement.
What Are Large Transactions?
Large transactions are transactions that exceed the value of $100,000 on the blockchain network. They are significant indicators of the sentiment of large-scale investors or ‘crypto whales’.
What is a Burn Rate?
Burn rate refers to the rate at which a particular token is being removed or ‘burned’ from circulation to increase its scarcity, thereby potentially enhancing its value.
How Does the Burn Rate Influence the Price of a Crypto?
A higher burn rate can indicate an increase in token scarcity, which can potentially drive up its value. Conversely, a decrease in the burn rate could signal a reduction in activity among holders, potentially impacting the token’s price negatively.
