Meme coin Shiba Inu has seen a new increase in the price of the last 24 hours as it aims to cross the $0.000020 mark. This upward movement reflects a positive sentiment among investors, but a closer look at the on-chain metrics paints a more complex picture.

Data on the chain suggests this that’s optimism may not be all-round, especially when it comes to the SHIB burns. Notably, data shows that SHIB burns have decreased by approximately 95% over the past 24 hours, indicating that activity around Shiba Inu may be taking a break, or worse, decreasing.

Shiba Inu burn crash 95%

According to data from Shibburn.coma total of 1.72 million SHIB tokens have been burned in the past 24 hours. While this seems like a lot, it actually represents a steep 95.22% drop compared to the volume of SHIB burned in the previous 24-hour period.

This notable crash in the number of Shiba Inu tokens burned is the result of low fire activity, as detailed information from Shibburn.com shows. According to the SHIB fire tracker, only two addresses participated in the fire events during the past day. This is in stark contrast to the usual number of addresses involved in SHIB burns, indicating a wider slowdown in community involvement in burns.

Of the total SHIB burned, the majority was attributed to the wallet “0xa9d1e,” which sent 1,250,000 SHIB to the designated fire address BA-2. Another wallet, “0x2901”, contributed another 474,747 SHIB to burn address BA-1, effectively bringing the total number of SHIBs burned to 1,724,747 SHIB.

What does this mean for the SHIB price?

Shiba Inu burn statistics are some of the best statistics for assessing the sentiment surrounding the meme coin. Periods of bullish sentiment are often highlighted by an increase in activity around SHIB burns, as many traders burn tokens in the hope of increasing the coin’s price. On the other hand, periods of bearish sentiment are highlighted by low or declining SHIB burns. As such, this decline in burns could indicate that interest and commitment to SHIB’s burns initiative is, at least temporarily, cooling off.

However, the Shiba Inu fire crash doesn’t necessarily spell gloom for the SHIB price. This is because SHIB price has remained largely positive over the past 24 hours and is currently up 2.8%.

At the time of writing, SHIB price is trading at $0.00001913, having reached an intraday high of $0.00001943. This uptrend could provide the momentum needed for SHIB to break decisively above the $0.000020 level this weekend.

On the other hand, potential downside risk remains. Should momentum fade, SHIB’s price could dip below the $0.000019 mark and approach the $0.0000185 support level.

Featured image created with Dall.E, chart from Tradingview.com