SHIB burn rate soars 807% in 24 hours as traders spot signs of reversal

The Shiba Inu (SHIB) burn rate shot up by 807% in the past 24 hours, with more than 20.5 million SHIB tokens permanently removed from circulation.

In the past 24 hours, the Shiba Inu (SHIB) burn rate skyrocketed by over 807%, according to X announcement from blockchain tracking service Shibburn. More than 20.5 million SHIB tokens were sent to dead-end wallets, permanently removing them from circulation. This marks a significant jump compared to the previous day, with the total burn amount nearly quadrupling. Most of the burn came from two large transactions—one carrying 13.5 million SHIB and another 6.3 million. 

However, while the daily burn rate surged, the weekly picture tells a different story. Over the past week, SHIB burns actually dropped by around 94.6% compared to previous weeks. Despite that decline, about 62.7 million SHIB tokens were burned in total over the last seven days, which still far exceeds the daily number.

The goal behind these SHIB burns is to reduce the overall supply of SHIB, which should, in theory, create scarcity and potentially boost its value over time. The idea is simple: with fewer tokens in circulation, demand could eventually push prices higher. In total, SHIB holders have burned 410 trillion tokens since this practice started. Much of that early burn effort was thanks to Ethereum (ETH) co-founder Vitalik Buterin, who famously destroyed a massive portion of the SHIB tokens he was gifted. Even with those massive burns, more than 584 trillion SHIB tokens are still circulating, meaning there’s plenty left for the community to tackle if they want to keep reducing the supply.

The recent surge in the burn rate could hint at renewed interest in SHIB. Reflecting this optimism, crypto trader $SHIB Knight shared a weekly SHIB price chart with his 467,000 followers, noting that the market may be turning a corner. “The dip is behind us,” he said. “We’re seeing the first green candle on the weekly chart after five straight red ones—this could be the start of a reversal.”