SHIB Burn Rate Soars 48,000% as Whale Burns 85.8M Tokens
SHIB burn rate surged 48,247% on August 13 after a single whale wallet burned 85.8 million Shiba Inu tokens. This sharp rise in the SHIB burn rate coincided with a 6% daily gain in Shiba Inu’s price, underlining the close link between token burns and market sentiment. Although another whale burned 600 million SHIB just days earlier, and a smaller 18 million burn occurred on July 29, token burns alone rarely drive sustained rallies. Instead, SHIB’s short-term price action remains tied to Bitcoin’s movements: its drop from $0.000014 to $0.000011 in late July mirrored Bitcoin’s slide below $122,500. Traders should watch the SHIB burn rate alongside broader crypto indicators when assessing Shiba Inu’s medium- to long-term outlook.
Neutral
The recent large-scale burns of SHIB tokens reduce circulating supply but have historically had limited impact on sustained price rallies. Short-term SHIB price movements remain strongly correlated with Bitcoin’s performance, as seen in late July when both assets fell in tandem. While the 85.8 million-token burn and resulting 48,247% spike in the SHIB burn rate generated bullish headlines and a 6% price uptick, traders should treat burn events as supplementary indicators rather than primary drivers. In the medium to long term, continued burns can improve tokenomics by tightening supply. However, without positive macro signals—especially Bitcoin momentum—SHIB is unlikely to decouple and sustain major gains solely on burn activity.