Following the highly anticipated launch of Shibarium, the SHIB Burn Rate Jump 1,100% has been observed, a striking rise that has caught the attention of many. Despite the Layer 2 blockchain encountering issues on its debut day and still being in private mode, the burn rate has seen a significant upswing. While this could indicate a resurgence of activity among the meme coin’s investors, it seems there’s another factor fueling this rapid increase in the burn rate.
The Remarkable Rise in Burn Rate
Shibburn, a Shiba Inu burn tracking website, has reported a noteworthy upturn in the burn rate over the past 24 hours compared to the previous day. The total number of tokens burned has surpassed 1.046 billion, equating to a 1,108.78% increase during this period. This is a stark contrast to the previous day’s figures, which were around 100 million tokens burned.
Interestingly, the address performing the majority of the SHIB burn is the 0x4be2 address. An on-chain examination revealed that this address is the contract address for the MARSWAP (MSWAP) token. As this token gains popularity, it appears to dedicate a portion of transaction fees towards SHIB burn, leading to an increase in the number of SHIB tokens being burned. So far, Marswap is responsible for about 40% of burned tokens. However, the ShibaSwap LP Token (SSLP) contract address, 0xcf6d, holds the record for the single largest burn event in the last day, burning 418,719,732 tokens.
How is the Token Price Reacting?
Despite the significant surge in the SHIB burn rate, the meme coin’s price hasn’t reacted as positively as anticipated. The token price seems to be following the general crypto market sentiment and continues to trade in the red. Although there has been a minor uptick in the last hour, with SHIB’s price rising a scant 0.16%, it’s still experiencing losses of 1.48% on the daily chart. More worrying is the significant loss of 21.94% on the weekly chart. This trend suggests that a rally for SHIB independent of the market is unlikely. Instead, a recovery will likely follow a rise in Bitcoin.
Shibarium Relaunch: A Possible Trigger for Recovery?
One event that could potentially trigger a recovery is the relaunch of Shibarium. Lead developer Shytoshi Kusama has indicated that the layer 2 network could be preparing for a relaunch in the near future. If you’re interested in keeping track of these developments and more, cryptoview.io offers a comprehensive platform for all your cryptocurrency needs.
While the SHIB Burn Rate Jump 1,100% is certainly noteworthy, it’s clear that other factors are at play in the cryptocurrency market that could influence the future trajectory of SHIB’s price.
