Shiba Inu’s daily burn rate declined sharply on September 28, with roughly 338,050 tokens removed from circulation, according to data from Shibburn cited by Finbold. This marked a 91.31% decrease compared to the previous day when nearly 3.9 million tokens were burned.
Burn rate slump and technical outlook
The significant drop in SHIB’s burn rate arrived just as the token lost momentum at resistance levels near $0.0000060 to $0.0000062. After recently rallying from below $0.0000050 to above $0.0000060, SHIB failed to sustain its breakout, retracing its gains.
By the close of September 28, SHIB was trading near $0.00000566, having reached an intraday high of $0.00000598. Technical analysis suggests short-term support for SHIB is now located around $0.0000056, with its 200-day moving average positioned near $0.0000058.
| Price Level | Significance |
|---|---|
| $0.0000056 | Short-term support |
| $0.0000058 | 200-day moving average |
| $0.0000060–$0.0000062 | Resistance zone |
If selling pressure brings SHIB below $0.0000055, further downside could target the $0.0000051 to $0.0000052 range. This places the token in a weaker technical position compared to the recent attempt to break above $0.0000061, which briefly suggested possible momentum toward $0.0000067.
Impact of token burns on price
Shiba Inu’s burn mechanism, which removes tokens from circulation to create a scarcity narrative, has long drawn attention within the community. Still, SHIB has a circulating supply in the hundreds of trillions, making daily burns involving hundreds of thousands or even millions of tokens relatively insignificant for price dynamics in the short term.
Coinpaper has previously reported that SHIB’s burn rate once collapsed by 99%, yet the token’s price moved higher. In another instance, a burn-rate jump of 53,000% did not prevent price declines. These examples suggest that while token burns attract attention, shifts in overall demand and price structure play a more substantial role in SHIB’s market movements.
Mini dictionary: Shibburn is a platform that tracks and reports token burns — the process of permanently removing cryptocurrency tokens from circulation in an effort to reduce total supply and potentially support price appreciation.
With SHIB’s overall supply remaining extremely high, the immediate impact of the daily burn rate may be limited for now.
Token burns remain one of Shiba Inu’s most visible scarcity narratives, but their short-term impact on price is far from straightforward.
The focus for SHIB traders and holders is likely to remain on technical levels and broader enthusiasm around meme coins, rather than supply reduction alone.
