Shiba Inu (SHIB), a prominent memecoin built on the Ethereum blockchain, has seen a significant increase in its token burn rate, attracting renewed attention from market participants. This surge in burn rate coincides with a notable price jump for Shiba Inu, sparking considerable interest among cryptocurrency enthusiasts. Additionally, Shibarium, a Layer 2 network encouraged by Shiba Inu, continues to reach new heights.
According to data from Shibburn, a platform tracking SHIB token burns, the burn rate increased by a staggering 2,274% on January 5, 2024, over the past 24 hours, resulting in 5.20 million SHIB being removed from circulation. Notably, three significant transactions accounted for the burning of 4 million SHIB.
Amidst the substantial increase in SHIB’s burn rate, Shibarium’s Layer 2 network has also recorded significant progress. In just 18 days, Shibarium reached 1 million active wallet addresses, a milestone that took longer for some leading Layer 2 networks like Arbitrum and zkSync to achieve. The total number of transactions on Shibarium’s network has reached 256.08 million, indicating high levels of interaction among wallet addresses.
Concurrently, Shiba Inu’s price trajectory has also been upward. The price of SHIB increased by 1.92% in the last 24 hours to $0.00009847, with the market capitalization witnessing a notable rise of 1.87% to $5.80 billion. However, the weekly chart shows a 6.65% decline for the memecoin.
Market experts and analysts suggest that the increased token burn rate and growth in Shibarium have contributed to the heightened interest in Shiba Inu among market participants.