Shiba Inu is starting to reverse some of its price losses in December as the crypto industry reacts after Bitcoin’s recent break above the $100,000 psychological level. This has seen the activity of Shiba Inu increase notably in the past few days. According to data from Coinmarketcap, the trading volume of Shiba Inu has increased by about 21.2% in the past 24 hours.
Shiba Inu has also seen a significant increase in large transaction volumes, which have surged by 40% over the last 24 hours. In stark contrast to the rise in transaction volume, Shiba Inu’s burn rate has dropped sharply, falling by 71.5% within the same timeframe.
Shiba Inu Large Transaction Volume Climbs 40% Amid Market Activity
The increase in SHIB’s large transactions is highlighted by on-chain data from IntoTheBlock, a blockchain analytics company. Particularly, it is highlighted by IntoTheBlock’s large transaction volume and USD metric, which tracks the volume and value of transfers exceeding $100,000 on the blockchain network. As such, this is an important metric to peek into the current sentiment among crypto whales.
According to IntoTheBlock, the volume of large SHIB transactions has come up to 1.49 trillion SHIB in the past 24 hours. Although this is small compared to some 24-hour timeframes in the past, it marks a notable deviation from a whale activity reduction trend since January 3. It also marks a 37% increase in volume from the previous 24-hour timeframe of 1.09 trillion SHIB.
In terms of value, SHIB large transactions in the past 24 hours come up to a collective $35.7 million, which is an increase of about 38% from the previous 24-hour timeframe of $26 million. This sort of increase points bullish for the Shiba Inu price and could be the first step in an inflow of money into Shiba Inu for the rest of the week.
SHIB Burn Rate Crashes by 71.5%: Can SHIB Keep Up The Momentum?
Despite the increase in SHIB trading volume all around, the SHIB burn rate has witnessed a corresponding notable crash in the previous 24 hours. The burn mechanism, which is aimed at reducing the circulating supply of SHIB tokens to increase scarcity, also holds weight as an indicator of activity like the large transaction volume metric.
According to SHIB burn tracker Shibburn.com, the total number of SHIB tokens burned in the past 24 hours came up to 8,738,201 SHIB, which is a stark reduction in the over 31 million SHIB tokens burned in the previous 24-hour timeframe. This notable decline could point to a slowdown among SHIB holders, which could spell a negative effect on its price in the short term. However, it would be prudent to see how the SHIB burn trend plays out in the next 24 hours, as the current trading volume activity suggests a quick bounce in the number of SHIB burn activities.
At the time of writing, Shiba Inu is trading at $0.00002399. The meme coin is up by 16% in the past seven days.
Featured image created with Dall.E, chart from Tradingview.com
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