- Uptick in Shiba Inu’s burn rate is an interesting phenomenon, but it might not move its price
- On-chain metrics showed that network activity has been struggling to climb higher
Shiba Inu [SHIB] has been trading near the lows of a 4-month range lately.
In fact, the $0.000011-level had been established as a support level in the second week of March, after a relentless downtrend from December. This drawdown measured 67% from December’s high to March’s low. While it sounded devastating, a majority of the altcoin and memecoin market saw similar price drops in 2025.
Source: Shibburn
Could this be about to change? Data from Shibburn, the core burning platform in the Shiba Inu ecosystem, revealed that the last 24 hours saw a 65,141% hike in the SHIB burn rate. The Shiba Inu burns occur periodically, and the burn rate fluctuates. A spike in holders burning, or a high contribution from the Shibarium ecosystem due to increased activity, could send the burn rates higher.
The 65,141% increase meant 1.007 billion Shiba Inu tokens were burnt in just 24 hours. While it sounded like a truckload, it only amounted to $11,583.
This was a truly meagre value for a 1-day burn for a crypto asset with a $6.8 billion market cap, and cannot be expected to drive price moves. However, on-chain metrics could help parse SHIB’s price situation.
Gleaning clues from Shiba Inu’s network activity
Source: Santiment
The daily active addresses metric had been falling since January. There were occasional spikes in activity, such as in April or mid-May. These coincided with strong price trends, whether bullish or bearish. Heightened activity seemed to accompany downward price moves more, which implied holders were trying to take profits on their SHIB.
The daily activity levels have been steady since June, and nowhere near the peak levels from early 2025. This meant that speculation was low.
Additionally, the number of new addresses being created each day, measured by the network growth, has also been relatively low since March. The network activity metrics showed that investors could bide their time, instead of having bullish expectations in the short term.
Source: Santiment
The supply distribution chart revealed that the number of holders with 10 million or more SHIB fell in the second half of June.
Now, while these numbers have begun to recover over the past week, crucially, the 1B+ SHIB holder addresses have not risen – A sign that some whales might prefer waiting.
Source: Coinglass
To understand where Shiba Inu’s price could go in the coming days, the 3-month liquidation heatmap was analyzed. The nearest magnetic zones were at $0.0000121 and $0.0000108. Both were more or less equidistant from Shiba Inu’s market price, but the former liquidity cluster appeared to be much stronger at press time.
Therefore, swing traders can expect a move towards the $0.0000121 region soon. This level was just below the $0.0000126 mid-range resistance, so traders should not expect the rally to continue much higher unless intense demand and a bullish Bitcoin [BTC] materializes.
