Is $2 All?...Shiba Inu's Burn Rate Crumbles by 79.50%

▲ Shiba Inu (SHIB)/ChatGPT generated image

The Shiba Inu (SHIB) burn rate sharply cooled down in just one day, reflecting the slowdown in transactions and weakening investment enthusiasm in the memecoin market directly in the burn metrics.

According to U.Today, a cryptocurrency specialized media outlet, on May 26 (local time), Shiba Inu's burn rate sharply declined over the past 24 hours. Based on Shibburn data, only 383,778 SHIB were burned in a single day, with the value of this amount estimated at around $2. The daily burn rate dropped by 79.50%.

Weekly burn metrics also showed weakness. A total of 29,868,660 SHIB were burned over the past 7 days, and the weekly burn rate decreased by 82.26%. In contrast, over the past 30 days, 150,907,570 SHIB were burned, marking an 11% increase during the same period.

U.Today reported that the slowdown in burns coincided with a cooling trend across the broader cryptocurrency market, especially the memecoin market. As the market shows signs of cooling after the previous upward cycle, trading volumes have also decreased, and reduced trading activity can directly impact the amount of Shiba Inu burned by reducing the fees associated with burns.

As of the time of reporting, Shiba Inu was trading at $0.00000553, down 1.18% over the past 24 hours, and had fallen 3.20% over the past 7 days. The sharp decline in the burn rate and price weakness occurring simultaneously indicated a clear contraction in short-term investor sentiment.

This week, the market is expected to be driven by macroeconomic indicators. U.Today reported that inflation, growth rates, new unemployment claims, and housing data are being watched as key information to gauge the Federal Reserve's room for interest rate cuts. Investors are also monitoring the April Personal Consumption Expenditures (PCE) price index, which will be released this week, as this indicator is the Fed's preferred measure for evaluating inflation.

*Disclaimer: This article is for investment reference only, and we are not responsible for any investment losses based on it. The content should be interpreted for informational purposes only.*