TL;DR

The SHIB burn rate surged 1,344% in a single day, as 28.8 million tokens were permanently removed from circulation through manual transactions.
Despite the sharp supply reduction, SHIB price stayed under pressure, hovering near $0.0000078 amid cautious market sentiment.
Whale wallets continued accumulating large SHIB positions, pointing to long-term conviction even as short-term price action failed to respond to the burn activity.

The SHIB burn rate jumped sharply over the last 24 hours, drawing attention to renewed efforts to reduce circulating supply. On-chain data shows that tens of millions of tokens were sent to unspendable addresses, pushing daily burn metrics to levels not seen in recent weeks. Still, price action showed little reaction, reinforcing the gap between on-chain signals and market performance.

Three transactions accounted for the full 28.8 million SHIB burned during the session. One transfer alone removed 28 million tokens, while two smaller transactions totaling under 1 million completed the process. All movements originated from whale-linked wallets, confirming that large holders remain the main force behind recent supply reduction, rather than automated systems or retail participation.

SHIB Burn Rate And On-Chain Signals

The surge in the SHIB burn rate was driven entirely by manual actions. Although Shibarium includes a mechanism designed to convert part of transaction fees into SHIB burns, network data indicates that this system has generated limited volume so far in 2026. As a result, discretionary burns by individual wallets continue to shape supply dynamics.

At the same time, on-chain analytics show a gradual increase in whale balances. Several large addresses accumulated billions of SHIB during recent pullbacks. This behavior has historically aligned with accumulation phases, where larger players position during periods of low volatility and weak sentiment.

Price Action Remains Under Pressure

SHIB price continues to reflect broader market softness. Over recent days, the token declined from $0.0000084 to the $0.0000078 zone, posting losses above 7% before staging a brief rebound. That recovery quickly faded as selling pressure resumed, keeping the asset near short-term support levels.

Trading volume stayed moderate, suggesting the absence of aggressive distribution or strong speculative inflows. Technical indicators point to consolidation rather than a clear reversal, with resistance holding above key short-term averages.

From a pro-crypto perspective, the current setup highlights structural progress over immediate price response. Token burns, layer-2 infrastructure, and steady whale accumulation signal ongoing commitment to long-term supply management. Increased activity on Shibarium could gradually strengthen automated burns, adding another layer of support.

---

Filed under: News - @ January 20, 2026 7:42 pm