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Burning 600 million SHIB in a single day coincides with a price drop.. So what is happening behind the scenes?
Two days ago Last updated: 29.07.2025
0520 One minute
The Shiba Inu community recently executed a massive operation, burning over 600 million SHIB in a single day. The burn rate increased by over 16,700%, making headlines in the cryptocurrency world.
But despite this massive reduction in supply, the price of SHIB has dropped by about 5%. What is happening behind the scenes?
Burning over 600 million SHIB in a single day
The Shiba Inu Army has long believed in the importance of reducing the token supply to raise its price, and they have been serious about it. According to Shibburn, a tracker of SHIB token burns, over 602 million SHIB tokens have been permanently removed from circulation in just 24 hours.
The largest amount, about 601 million tokens, came from a single wallet address, 0x8eb…c625f, which sent the tokens to a 'dead' address, where they are locked forever.
As a result, the SHIB burn rate surged by about 16,717%, one of the largest increases seen recently.
Weekly burn shows long-term commitment
Weekly numbers also look strong. In the past seven days, over 616 million SHIB tokens have been burned. This is a 369% increase from the previous week, showing that the SHIB community is not slowing down.
This shows that SHIB holders are still serious about reducing the token supply, hoping it will help raise the price over time.
Why did the price drop?
Even with the massive burn, the price of SHIB has decreased by 5%, and it is now trading at around $0.00001349. This shows that burning cryptocurrencies does not always lead to a rapid price increase, especially under declining demand or weak market conditions.
This is disappointing news for many, but technical indicators may provide a reason for it. The Relative Strength Index (RSI) is around 48.5, indicating that the currency is in a neutral zone.
However, SHIB's price also faces strong resistance at $0.00001407. If it surpasses this level, it may head towards $0.00001561. Conversely, if it drops below $0.00001253, there is a possibility of further decline.
