Shiba Inu developers have announced a series of burns for the Shiba Inu coin, with three manual burns taking place in December and auto burns starting in January. The adoption of the Shibarium network is expected to significantly increase the rate of burn for Shiba Inu, as the network currently has over $885k in total value locked (TVL) from various web3 protocols. Shibarium, a layer two scaling solution, has been widely adopted by decentralized exchanges (DEXs), with a TVL of nearly $1 million. This adoption is set to boost SHIB’s on-chain activity and enable investors to benefit from fast transactions with low fees.
The Shiba Inu ecosystem has already burned approximately 410 trillion SHIB, with a large portion burned by Ethereum co-founder Vitalik Buterin. Buterin initially received 50 percent of the initial SHIB supply and subsequently donated 10 percent to COVID-19 relief efforts in India before burning the rest. The Shiba Inu community has eagerly anticipated an accelerated burn process to increase the value of existing tokens.
Last month, the Shiba Inu team provided an update on the transition of Shibarium’s Puppynet from Goerli to Sepolia. The update also introduced the new era of SHIB burn, which involves automation to enhance efficiency and reliability. While the burn process began with three manual burns managed by the official deployer wallet, it has now transitioned to an automated system, making it more transparent and efficient.
The future of Shibarium’s token burning mechanism looks promising, with planned upgrades and a direct correlation between network usage and burning efficiency. As adoption increases, the burn process becomes more effective, making Shibarium an appealing platform for users and investors alike.
In terms of price action, Shiba Inu experienced a falling trend from October 2021 but saw a 78 percent spike in the fourth quarter of 2023, invalidating bearish sentiments. The price has consistently closed above the 200 Moving Average (MA) on the weekly time frame for the past five weeks, indicating bullish sentiment. The weekly Relative Strength Index (RSI) has also shown a bullish divergence since SHIB reached its bear market bottom. Additionally, a daily golden cross between the 50 and 200 MA further supports the bullish sentiment. Shiba Inu, the second largest meme coin after Dogecoin, currently boasts a market cap of approximately $5 billion and a daily trading volume of around $200 million.
According to the latest market data, the price of SHIB has gained about 3 percent in the past 24 hours and is currently trading at $0.000009935.