The Shiba Inu burn rate crashed to 0% in the last 24 hours, with only 552 SHIB tokens actually sent to dead wallets according to Shibburn data. This sharp decline follows a 3,620% surge the previous day when over seven million tokens were burned, and it’s happening right now as the broader crypto market enters a period of uncertainty. The burn rate for Shiba Inu has collapsed completely, coming alongside mounting price pressure on SHIB, which dropped 4.55% to $0.000007344. New inflation data triggered a broader crypto market downturn that pushed the token lower. At the time of writing, the year-end lull in the Shiba Inu market has intensified considerably, with traders adopting a wait-and-see approach as 2025 approaches.

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Shiba Inu Burn Rate Hits Zero Amid SHIB Price Pressure And Year-End Lull

Shiba Inu Team Explains Why Shibarium Will Survive
Source: Watcher.Guru

Weekly Statistics Show 96% Drop In Burn Activity

The seven-day statistics actually paint a pretty concerning picture for the Shiba Inu burn rate mechanism right now. According to Shibburn, 2,150,328 SHIB tokens were burned over the last week, which marks a 96.96% decline from the previous period. This collapse in the burn rate for Shiba Inu reflects the year-end positioning many traders are taking, along with participation in token destruction mechanisms falling sharply across the board.

The sudden halt in burn activity coincides with SHIB’s price slide that began December 13. At the time of writing, the token had reached $0.00000845 before tumbling to $0.00000731 by Thursday, extending losses for the fifth consecutive day. Even Coinbase’s December 15 launch of Shiba Inu perpetual futures failed to provide support, as broader market weakness overshadowed this development and intensified the price pressure on SHIB.

Inflation Data Amplifies Year-End Market Conditions

The Bureau of Labor Statistics released a delayed November consumer price index report showing headline annual inflation at 2.7%. This data actually arrived after the recent U.S. government shutdown ended and has contributed to risk-off sentiment across digital assets. The year-end lull in Shiba Inu markets has been amplified by these macroeconomic factors weighing on the entire cryptocurrency sector right now, creating additional pressure on SHIB price that traders cannot ignore.

Historically, periods of market exhaustion like this often coincide with moments when panic-sellers become exhausted and markets approach potential reversals. However, the combination of zero burn activity, weakening price action, and macroeconomic uncertainty creates a challenging environment for the token.

Lead Developer’s Perspective On Burn Strategy

Back in the early part of the year, Shiba Inu lead developer Shytoshi Kusama emphasized the fact that mainstream adoption is the final answer to the future of the ecosystem. He observed that it would take a burning of 99 percent of supply to replace the actual utility and the real world practice cases. Along with this view, the community keeps advocating so-called aggressive burn mechanisms to decrease the massive 589 trillion in token supply on the market and generate increasing pressure on the SHIB price. As of the writing, the price pressure of SHIB is ever increasing with Shiba Inu down trading by 4.55 per cent in the 24 hours at 0.000007344.

Also Read: Shiba Inu’s Weak 2025 Sets Up a Big Question: Will It Rally in 2026?

The token has been near the critical levels of support as investors digest on the inflation report and evaluate the market conditions going into the end of the year. The volumes of trading have literally become thin and this signals the lack of participant involvement in different meme coin markets and further aggravates the year-end market lull of Shiba Inu. The fact that Shiba Inu burn rate reached zero is a major break in the token deflationary strategy. The mechanism to burn more tokens to make them scarcer seems frozen as only 552 tokens were burned in 24 hours, in contrast to millions in the past. It is still unclear whether this drop in the burn rate of Shiba Inu is a short-term end-of-year positioning or more permanent as the crypto market enters 2025.