Following a blistering weekend, Shiba Inu’s burn rate has taken a step back to post a drop of 30% over the course of the day.
According to the latest data from shibburn, in the past 24 hours, a total of 73,972,026 SHIB tokens were incinerated and sent to dead wallets in 3 transactions.
Tokens are delivered to the Genesis address [Black Hole], which lowers the supply, and two dead wallets with no retrievable keys are used to compute burns.
Burns supports the Shiba Inu ecosystem’s supply-demand equilibrium since demand is anticipated to continue increasing while the number of tokens in circulation declines.
A few days ago, content marketing expert Lucie Sasnikova, a well-known member of the SHIB team, provided a detailed explanation of the Shiba Inu burn mechanism developed in Shibarium in a tweet, and how it will function once the L-2 mainnet is deployed.
Users perform transactions on Shibarium and pay gas costs in BONE tokens, which powers the process. The fee is divided between a base fee [secured by a Shibarium contract), and the rest is distributed to Shibarium validators.
The remaining 70% of the base fee is then converted to SHIB and transferred to dead wallets.
However, the enormous burn rate that peaked at an astonishing 150% over the weekend stands in stark contrast to the most recent numbers.
The intriguing twist is that short-term investors are observing an increase in the value of their holdings.
As per Santiment, Shiba Inu’s short-term holders have displayed resilience in the face of a decrease in volume and burn rate.
Shiba Inu Among Top 4 Trending Assets
SHIB was recently trending over the zero line, according to an analysis of the key indicator Market Value to Realized Value ratio [MVRV] that determines whether an asset is overvalued or undervalued.
An MVRV of more than 5% shows a rise in the holders’ value.
Despite muted price movement, the well-known meme token is still one of the top four trending assets on CoinMarketCap [CMC], as noted by SHIB Knight, a well-known Shiba Inu community member.
Notably, a big whale recently accumulated billions of assets, just before SHIB’s latest achievement on CMC. The twentieth-largest SHIB whale increased their SHIB holdings by nearly $1.22 million in a single transaction by purchasing Shiba Inu.