Analyzing if Shiba Inu’s [SHIB] burning protocol is having any effect on its price
A significant impressive stash of Shiba, over the years, sent to unspendable wallets had decreased the circulation in supply. Well, to increase Shiba Inu‘s price. To be fair, it hasn’t quite worked over the years. But this time, the burning activity might have produced a different outcome.
Trust the process? Maybe…
In the past 24 hours, nearly half a billion SHIB tokens have been shifted to a dead addresses, thus removing from the circulating supply. According to Shibburn’s 22 May update, a total of 452,370,514 Shiba Inu canine tokens got removed, taking 41 transfers.
In the past 24 hours, there have been a total of 452,370,514 $SHIB tokens burned and 41 transactions. Visit https://t.co/t0eRMnyZel to view the overall total of #SHIB tokens burned, circulating supply, and more. #shibarmy
— Shibburn (@shibburn) May 22, 2022
The burning mechanism helps to reduce the supply of the token while increasing the demand for this crypto out of thousands of cryptocurrencies. It is crucial to keep a higher cryptocurrency price in this highly fluctuating cryptocurrency market. Shiba Inu investors are hoping that the coin-burning strategy might get this cryptocurrency out of the trouble in the ongoing bear cryptocurrency market.
Well, did it work? The SHIB token did showcase a 3% surge as it traded at $0.00001 mark with a potential to grow further. Following this, Shiba Inu returned to the top of the most actively purchased assets among dominant buyers, aka whales.
Peep the top 100 whales here: https://t.co/R19lKnPlsK
— WhaleStats – BabyWhale ($BBW) (@WhaleStats) May 21, 2022
Indeed such developments worked really well to help SHIB surge as seen on CoinMarketCap. In addition, SHIB buyers anticipated a massive growth following a huge announcement. Shiba Inu’s lead developer, Shytoshi Kusama, recently shared a tweet pertaining to a chat with energy drink brand Red Bull.
— Shytoshi Kusama™ (@ShytoshiKusama) May 19, 2022
Indeed, this sparked a renewed interest within the SHIB investors as evident in the increased number of SHIB holders. Just within a week, a significant amount of enthusiasts seem to have HODLed the said coin.
Although a majority of these “HODLers”, around 75% Holders, faced massive losses- investors keep piling up.
Institutional adoption also played a vital part to inject some enthusiasm regarding a token. This is no different. TAG Heuer partnered with BitPay to accept cryptocurrencies for payments in the U.S, including the meme coin Shiba Inu.