- Shiba Inu has consistently burned 39 million tokens in the past 24 hours, totaling 410.6 trillion tokens burned.
- Token burning aims to reduce supply, potentially driving SHIB’s price higher amidst increased demand.
- A 50% supply reduction could necessitate a doubling of SHIB’s price to maintain a market cap above $4.061 billion.
Shiba Inu, known for its deflationary protocol, continues to demonstrate consistency in its token burning strategy. Over the past 24 hours, an impressive 39 million SHIB tokens were incinerated, bringing the total SHIB burnt to a staggering 410.6 trillion tokens.
The primary objective behind token burning is to curtail the overall supply, subsequently driving scarcity. This scarcity can trigger an upward push in the asset’s price when met with heightened demand. As of now, Shiba Inu’s total circulating supply stands at 579.7 trillion SHIB.
Looking ahead, if this supply were to decrease by 50%, SHIB’s price would need to double from its current level to maintain a market capitalization exceeding the $4.061 billion threshold.
The economic principle at the core of this strategy is straightforward. With a reduced supply, investors may assign greater value to the protocol, leading to increased capital injection and, in turn, a price surge for SHIB. However, it’s important to acknowledge that this assumption of SHIB’s price ascent due to reduced supply isn’t guaranteed. Unforeseen market factors can influence the token’s performance.
In essence, the long-term potential of Shiba Inu remains visible, with the burning mechanism integral to its journey. An intriguing prospect lies in the potential for SHIB to reach $0.01 in the future. Achieving this ambitious milestone would necessitate an astounding over 1.4M % surge from its current price of $0.000006879.
While the path to $0.01 is challenging, the burning feature encoded in the protocol adds a unique dimension to Shiba Inu’s potential growth, leaving investors optimistic about its future.
