After a lukewarm burn activity, Shiba Inu’s deflationary engine is firing back up. According to the latest data from blockchain tracker Shibburn, SHIB’s daily burn rate has surged by a notable 111.43%, with weekly gains clocking in at 19.48%. This marks a sharp rebound and could signal a renewed phase of accumulation and investor confidence.
A Deflationary Pulse Returns to the SHIB Ecosystem
Although these latest burn numbers do not match the intense triple-digit surges seen during SHIB’s earlier hype cycles, the upward trend offers a fresh wave of optimism within the community. Recent reports indicate that Shiba Inu’s core team had previously scaled back token burns, mirroring declining demand and thinning on-chain activity.
However, the recent upswing now suggests that investor interest is gradually returning. The deflationary mechanism, where users intentionally send SHIB tokens to “dead” wallets to permanently remove them from circulation, is once again picking up steam. This mechanism remains a critical part of Shiba Inu’s long-term strategy to increase token scarcity and, by extension, support price growth over time.
SHIB Whales Resurface Amid Rising Accumulation
Interestingly, the burn revival comes just as large SHIB holders, often referred to as whales, have begun accumulating again after weeks of near-flat activity. On-chain data shows that daily net flows from major SHIB holders have skyrocketed, climbing from near-zero to over 80 billion SHIB per day. Over the past 30 days, inflows from large holders have jumped by more than 120%, suggesting that key investors are again placing long-term bets on the asset.
This influx of whale capital appears to be fueling demand, which could encourage more token burns as a supply-scarcity tactic. The combination of these two forces, whale accumulation and aggressive burning, may lay the groundwork for a potential price rebound.
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Could a SHIB Rally Be Brewing?
Previously, the reduction in burn activity coincided with SHIB’s sideways and slightly bearish price movements. The token often remained in the red zone, weighed down by declining momentum. But now, the renewed burn efforts and strong whale accumulation suggest a possible reversal.
Many SHIB investors now speculate that a price explosion could be imminent, especially if the current trend continues. While it’s too early to call it a full-fledged bull run, these early signals provide much-needed optimism in an otherwise quiet SHIB market.
Shiba Inu’s burn rate is back on the rise, and so is interest from major holders. With on-chain indicators turning more favourable and burn mechanisms regaining pace, SHIB may be preparing for a more bullish phase. If this momentum holds, the meme coin could surprise the market again, as it has done before.
