The burn rate for Shiba Inu ($SHIB) blew up by 2225% on Thursday amidst a surge of interest in meme coins.
Shiba Inu tokens, which collectively have a market cap of $14.75 billion, are gradually burned in order to reduce the token’s tremendous supply (currently over half a quadrillion) in order to create scarcity, which helps the token’s price along on its upward journey.
Community burns are primarily done through Shibburn, which rewards Shiba Inu holders for burning tokens. Additionally, Shiba Inu’s proprietary Ethereum layer 2, Shibarium, burns a small amount of $SHIB from the gas fee for every transaction made using the token.
Now, the 2225% uptick in burns on Thursday comes from Shibburn, which indicates it was a community-driven incentive, rather than the developers’.
The big burn comes as meme coins collectively rally to new highs in what some observers are calling the start of a new bull run. In the last 24 hours alone, meme coins rallied 5% to command a towering market cap of $125 billion.
Has The Burn Pumped Shiba Inu’s Price?
Ultimately, Thursday’s burn has done little to increase Shiba Inu’s value. The token is up a modest 2.5% in 24 hours and 5.7% in a week to trade at $0.00002498.
Shiba Inu’s inspiration, the original and largest meme coin, Dogecoin ($DOGE), rallied 5.8% on the day and 11% on the week to hit $0.4035.
According to the chart, Shiba Inu briefly rallied to a six-month high of $0.00003 on Tuesday November 12, before correcting down to its current level, where it has more or less traded stably. This indicates that the massive burn had little effect on consumers’ decision to purchase the meme coin.
Source: TradingViewSimilarly, $SHIB’s relative strength index (RSI) has traded close to the mid-point, around 50, for the last nine days, which reflects some lukewarm sentiment around the token, even as its rivals have surged.
Traders Diversify Shiba Inu Holdings With Catslap
Perhaps one of the biggest reasons Shiba Inu has not done well lately is because there is no shortage of competition heading into the festive period.
This week, meme coin investors are excited about a brand new Ethereum meme coin that launched directly to DEXs called Catslap ($SLAP).
It debuted on Uniswap yesterday, and within 24 hours it had blown up over 1,500% as investors bundled in, intrigued by the project’s tap-to-slap mini game.
The game is on Catslap’s official website, where players click (or tap) the screen in order to animate a gif of the viral slapping cat.
The game logs slaps by country and distributes rewards to the nation at the top of the leaderboard.
Somehow, the project’s X account already boasts over 3,200 followers in little over a day of trading.
Catslap has a maximum supply of 9 billion, with 50% going towards liquidity, 20% to staking—where investors can earn 40% for locking up their tokens, 10% to community rewards, 10% to development, and 10% to its team (with this latter 10% vested for ten years).
Find Catslap it either via Uniswap or directly via the official website, where 1 SLAP is $0.00214291
Visit Catslap ($SLAP) Now
The post Shiba Inu Burn Rate Skyrockets to 2225%, As a New Cat Meme Coin Pops Up On Analysts’ Radar appeared first on Cryptonews.
