The Shiba Inu token (SHIB) has kicked off the week in style, with every key metric pointing in the right direction. Leading the charge is the burn rate, up by 544.55%, and responsible for transferring 5,166,319 SHIB to dead wallets. The ecosystem is traditionally characterized by high growth, which is accompanied by an increase in the rate of burning SHIB tokens, which points to a change in sentiment within the ecosystem.
The latest burn has further decreased the overall supply of SHIB, which is an achievement. As of today, 410.7 trillion SHIB have been burned from the initial supply, which means that the current community has 583.5 trillion SHIB in circulation.
Deflationary Process Benefits
As with most burn mechanisms, the main goal is to decrease the overall quantity in circulation and open the door to price appreciation in the long term. The burning of SHIB tokens is not constant; however, the overall deflationary process has benefited the token price.
Shiba Eternity Web3 Beta Launches for Shiboshi HoldersAs of press time, Shiba Inu is trading at $0.00001799, a 3.59% increase in the last 24 hours. But the token has seen a weekly loss of 1.91%. The token burning is community-wide and has helped keep the coin price stable and going up, which would continue as more people get on board.
Bullish Market Signals
The rise in Open Interest (OI) and the funding rate suggest rising bullish pressure in the Shiba Inu derivatives market. Based on Coinglass, an analytical platform, Open Interest in SHIB futures rose. From October 4 to October 7, it increased from $43.5 million to $51.5 million, an 18% increase.
If that trend continues, SHIB could test the price of $0.00002 in the future. Increased token burns, a strong community, and continued product development indicate Shiba Inu would continue to grow over the next several weeks. Investors and supporters remain optimistic about its future potential as the ecosystem expands.
