Shiba Inu Burn Rate Plummets to Rare Lows Amid Market Rally

Shiba Inu (SHIB) experienced a significant drop in its daily burn rate, with data from Shibburn showing that only 964,247 tokens were burned in the past 24 hours—a sharp 95% decline compared to previous figures. This unusual slowdown in community-led burn activity marks one of the lowest totals recorded recently and has raised concerns among market participants. Despite the decline in burn rate, SHIB has seen a modest price increase of 0.81% over the last 24 hours, and its weekly gain nears 14%, positioning it close to key resistance levels such as the daily SMA 50 and SMA 200. The news coincides with broader bullish sentiment in the altcoin market as investors monitor breakout signals and shifted holder behavior, with many opting to HODL rather than burn tokens amid an ongoing market rebound. The dynamic presents a complex picture where reduced burn activity might dampen the deflationary mechanism traditionally supporting the token’s price, yet the current market rally and technical indicators provide positive signals for a potential breakout. Historical trends suggest that short-term fluctuations in burn figures do not necessarily impede long-term price appreciation if combined with robust market fundamentals and increased trading volume.