The Shiba Inu burn rate skyrockets 1,567% despite price weakness

Source: Yellow Original Title: Shiba Inu Burn Rate Surges 1,567% Despite Price Weakness

Original Link: The Shiba Inu burn rate sharply reversed with a 1,567% increase on Saturday, destroying 1,157,800 tokens in 24 hours.

The sudden spike follows days of declining burn activity, which hit a low of just 69,420 tokens on Thursday.

The SHIB price remains under pressure at $0.00000825, down 1.47% daily and 2% weekly despite the recovery in the burn rate.

What happened

The burn tracking service Shibburn reported a strong bullish turn on Saturday, with over 1.1 million SHIB tokens sent to dead wallets.

On Thursday, burn activity plummeted 62.96% to just 69,420 tokens destroyed.

The weekly burn rate continues to decline by 77.44%, with 21.3 million tokens taken out of circulation in seven days.

No specific catalyst has been identified for the Saturday burn increase.

Community-driven burns continue despite SHIB trading near technical support levels amid overall market weakness.

Last week, a regulated derivatives platform also announced perpetual-style futures for SHIB, along with 10 other altcoins.

The regulated derivatives product offers U.S. traders 24/7 access to SHIB exposure through derivatives services.

Institutional recognition grew in October when T. Rowe Price, managing $1.77 trillion in assets, filed with the SEC for an active cryptocurrency ETF that includes Shiba Inu among eligible assets.

Why it matters

The increase in the burn rate demonstrates the community’s ongoing commitment to reducing the supply of 589 trillion SHIB tokens.

However, the 1.16 million tokens destroyed represent only 0.0002% of the circulating supply, highlighting the scale needed to make a significant impact.

Market analyses indicate broader market conditions remain mildly bearish, with institutional selling pressure.

The launch of perpetual futures provides the first regulated access to SHIB derivatives on a U.S. exchange.

T. Rowe Price’s ETF application marks the first potential inclusion of Shiba Inu in a U.S. security product, potentially opening institutional investment channels.

With 17 days left in 2025, traders are looking for potential catalysts that could change momentum heading into year-end.

The disconnect between increased burn activity and falling price action reflects ongoing challenges in crypto markets after the October liquidation event that wiped out $19 billion in leveraged positions.