The Shiba Inu (SHIB) token burn rate has experienced a dramatic decline, dropping 62.96% in the last 24 hours. According to data from Shibburn, only 69,420 SHIB tokens were burned in the past day, a significant fall from the 187,420 tokens burned the previous day. This continues a downward trend observed throughout the week, with several days recording less than a million tokens burned.
The weekly burn rate has also decreased by 10.11%, with a total of 54,584,068 SHIB tokens burned over the past seven days. This drop in burn activity coincides with a period of market indecision, despite a recent interest rate cut by the Federal Reserve. The broader crypto market remains in a weakened state following a weeks-long sell-off that began in early October, which liquidated nearly $20 billion in leveraged positions.
Analytics firm Glassnode has characterized the current market phase as "mildly bearish," noting modest capital inflows are being outweighed by steady selling pressure from larger holders. At the time of reporting, SHIB's price was down 0.93% to $0.000008376, as the wider market saw early Saturday liquidations totaling $307 million.
Looking ahead, Coinbase Institutional has suggested a potential liquidity boost for markets may arrive sooner than expected, with reserve growth likely continuing until April 2026. They describe the Fed's shift from balance sheet runoff to net injection as a form of "light quantitative easing" or "stealth QE," which could provide support for cryptocurrency markets. Coinbase predicts a less hawkish monetary environment in the first nine months of 2026, which would be beneficial for digital assets.
