Shiba Inu $SHIB burned 51.5 million tokens last week, according to data from Shibburn.com, part of its deflationary strategy to reduce the supply and increase the theoretical scarcity of the coin.
While this amount may seem large, its total value is only $1,030.45 at current market prices, which is a small impact when compared to Shiba Inu's massive market cap of $12.9 billion.
Burning effect on SHIB price:
Scarcity and Price: Burning tokens is often considered a way to reduce supply, which could theoretically drive up the price if demand is steady or increasing.
Small scale: Given the small size of this burn compared to the total supply and market cap, its direct impact on the current price is considered very limited.
Dependence on other factors: SHIB price mainly depends on market sentiment, wide adoption, and projects that support the coin’s ecosystem.
Predictions for 2025:
Technical developments and projects: If the Shiba Inu team succeeds in developing new projects such as the Shibarium platform and achieving broader integration into payment platforms, this could enhance the value in the long term.
Macroeconomics and Cryptocurrency Market: The biggest impact will come from the overall state of the cryptocurrency market and how well it is accepted by investors.
a summary:
Although the recent burn shows the Shiba Inu team’s commitment to deflationary policies, its current impact on prices is minimal. To achieve significant price increases, the focus must be on innovation, adoption, and a sustained increase in demand for the coin.
