Shiba

Wynn

Burn

Shiba Inu

James

Shiba Inu saw its largest burn in the last six months, which is typically interpreted as a bullish signal.However, SHIB’s price remains heavily suppressed in the bear market, and multiple factors point to further downside in the short term.<h2 id="the-burn-and-more">The Burn and More</h2>On July 8, the SHIB team and community <a href="https://x.com/shibburn/status/2074674456782389392" rel="noopener noreferrer nofollow">scorched</a> almost 110 million coins. However, the USD equivalent of the coins sent to a dead wallet is negligible, and with roughly 585 trillion coins still in circulation, much bigger burns will be required to trigger a major upswing.The burning mechanism was introduced in 2022, and its ultimate goal is to make the token scarcer and potentially more valuable (should demand remain stable or head north). It is also important to note that Vitaliк Buterin <a href="https://cryptopotato.com/ethereum-co-founder-vitalik-buterin-burns-6-7-billion-in-shiba-inu-shib-tokens/" rel="noopener noreferrer nofollow">contributed</a> a significant portion of the approximately 410.8 trillion tokens that have already been burned.As of this writing, SHIB trades at around $0.00000429, an 8% decline for the past month and a whopping 95% collapse since the all-time high witnessed in 2021. Its market capitalization has dropped to around $2.5 billion, making the meme coin (once among the 20 biggest cryptocurrencies) the 37th-largest digital asset.Back in the day, Shiba Inu was the subject of numerous optimistic price predictions, but lately the interest in it has faded, and the forecasts are rather grim. Not long ago, the popular trader James Wynn <a href="https://x.com/JamesWynnReal/status/2070085221685543409" rel="noopener noreferrer nofollow">labeled</a> the meme coin “old, dead, and boring,” predicting a potential revival in 5-10 years, when “a bit of nostalgia” could bring it back.<h2 id="the-bearish-signals">The Bearish Signals</h2>SHIB’s downfall coincides with its falling daily trading volume. X account BSCN <a href="https://x.com/BSCNews/status/2075040491607937271" rel="noopener noreferrer nofollow">revealed</a> that the figure has seen a steady decrease over the last 12 months, plummeting from $637 million in July 2025 to around $50-$100 million nowadays.The stalled activity on Shibarium is another worrying sign. The layer-2 scaling solution, launched in the summer of 2023 to boost speed, enhance scalability, and lower fees, initially processed millions of transactions. However, following an exploit that <a href="https://cryptopotato.com/shib-army-alert-shiba-inu-team-explains-security-breach-are-funds-safe/" rel="noopener noreferrer nofollow">disrupted</a> operations last year, daily activity has fallen dramatically to mere thousands.<figure id="attachment_1442246" class="wp-caption aligncenter"><a href="https://cryptopotato.com/wp-content/uploads/2026/07/Shibarium-Activity.png" rel="noopener noreferrer nofollow"><img class="wp-image-1442246" src="https://cryptopotato.com/wp-content/uploads/2026/07/Shibarium-Activity.png" alt="Shibarium Daily Transactions" width="1222" height="400"></a><figcaption id="caption-attachment-1442246" class="wp-caption-text"> Shibarium Daily Transactions, Source: shibariumscan.io </figcaption></figure>Weak interest in the broader meme coin sector is another factor that could limit SHIB’s ability to stage a decisive comeback. Dogecoin (DOGE) and many of its rivals were among the best-performing tokens during the last bull cycle, but they are now a pale shadow of their former glory. The market capitalization of the meme coin sector, which once crossed $120 billion, now stands at less than $23 billion.The post <a href="https://cryptopotato.com/shiba-inu-burn-rate-goes-parabolic-yet-shib-keeps-bleeding-details/" rel="noopener noreferrer nofollow">Shiba Inu Burn Rate Goes Parabolic, Yet SHIB Keeps Bleeding: Details</a> appeared first on <a href="https://cryptopotato.com/" rel="noopener noreferrer nofollow">CryptoPotato</a>.

Shiba Inu Burn Rate Goes Parabolic, Yet SHIB Keeps Bleeding: Details

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