Nothing

Future

Impact

Shiba Inu

<p>The concept of token burning often stirs up a lot of discussion and confusion. A common misconception is that token burns should immediately and significantly impact the price of a token. However, this is not always the case, as demonstrated by the SHIB token and many others.</p> 
<p>Shiba Inu burn portal Shibburn <a href="https://twitter.com/shibburn/status/1683188147364982790?s=20" target="_blank" rel="noopener noreferrer nofollow">breaks down</a> some common misconceptions regarding the burns and price movement.</p> 
<h2 class="wp-block-heading" id="the-dynamics-of-token-burns">The Dynamics of Token Burns</h2> 
<p>Token burns, in essence, are a mechanism to reduce the available supply of a token. However, the impact of a burn on the token’s price is not solely determined by the quantity of tokens burned. For instance, burning 10 billion tokens in a week will not necessarily impact the price if there are larger transfers being purchased daily.</p> 
<p>The price of a token is not solely determined by burns. A token can burn 90% of its supply, but if there’s no demand for that token, then it holds no value. The principles of supply and demand, which have held true for centuries, are key factors in price movement.</p> 
<h2 class="wp-block-heading" id="the-role-of-demand">The Role of Demand</h2> 
<p>If the demand for a token surges and more people start buying it, the available supply reduces due to the burning process, creating scarcity. This increased demand and decreased supply can positively influence the token’s price, making it more valuable to traders and investors.</p> 
<p>For example, the top 100 accounts (excluding the burn address) for $SHIB hold near 400T of the token’s supply, mostly on centralized exchanges. If everyone holds the entire supply and more people continue to buy, increasing the demand for the token, the price can still go up..</p> 
<h2 class="wp-block-heading" id="the-impact-of-burning">The Impact of Burning</h2> 
<p>Burning is like a whale buying a massive amount of the token’s supply, except this whale will never sell. Those tokens remain locked forever. Dismissing the importance of burning without considering its implications may overlook its significant role in the token’s growth and value.</p> 
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   <p lang="en" dir="ltr">"It's burning, but price not moving!"<br><br>We wanted to address some misconceptions about burns and price. This applies to <a href="https://twitter.com/search?q=%24SHIB&amp;src=ctag&amp;ref_src=twsrc%5Etfw" target="_blank" rel="noopener noreferrer nofollow">$SHIB</a> and many other tokens as well.<br><br>A common question that comes our way is "Why isn't the price moving after "massive" burns?" At this moment, burns are… <a href="https://t.co/uMuJQubpNO" target="_blank" rel="noopener noreferrer nofollow">pic.twitter.com/uMuJQubpNO</a></p>— Shibburn (@shibburn) <a href="https://twitter.com/shibburn/status/1683188147364982790?ref_src=twsrc%5Etfw" target="_blank" rel="noopener noreferrer nofollow">July 23, 2023</a> 
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<h2 class="wp-block-heading" id="the-future-of-shib">The Future of SHIB</h2> 
<p>Since April 5, 2021, before Vitalik Buterin’s burn, the price of SHIB has skyrocketed by 1128%, and it has continued to remain consistently above 118% higher than before. To drive significant growth, SHIB would benefit from increased adoption and growing demand.</p> 
<p>Out of over 23,000 cryptocurrencies, SHIB proudly stands tall in the top 20 (#18). SHIB is just 2 years old, and it’s still early days. A lot of what’s being built hasn’t yet been released.</p> 
<h2 class="wp-block-heading" id="key-statistics">Key Statistics</h2> 
<p>The current price of $SHIB is $0.00000794 with a market cap of $4,686,605,539. The 24-hour trading volume stands at $85,215,649. The total supply of Shiba Inu is 579,207,201,847,747.</p> 
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<p>In the last 24 hours, approximately 29,891,399 SHIB have been burned with a -51% drop during this period. The website lists the latest burn transactions, with the number of SHIB burned ranging from a few hundred thousand to several million. These tokens are sent to special addresses, including two dead wallets with no obtainable keys and the Genesis address (Black Hole), effectively reducing the supply.</p> 
<p><em>Disclaimer: Nothing mentioned here is to be taken as financial advice, please do your own research.</em></p> 
<p>The post <a rel="noopener noreferrer nofollow" href="https://captainaltcoin.com/truth-behind-shiba-inu-burns-shibburn-dives-deep/">Truth Behind Shiba Inu Burns: Shibburn Dives Deep</a> appeared first on <a rel="noopener noreferrer nofollow" href="https://captainaltcoin.com">CaptainAltcoin</a>.</p>

Truth Behind Shiba Inu Burns: Shibburn Dives Deep

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