A token burn event of over 53 million Shiba Inu (SHIB) tokens has sparked a short-lived price rally for the cryptocurrency. The massive burn rate increase of 1,699% in a single day may have caught traders off guard, but experts are warning that this move is unlikely to be sustained due to SHIB's large circulating supply.
The token burn activity is part of an ongoing community effort to make SHIB more deflationary. However, even with the increased burn rate, SHIB's overall circulating supply remains in the hundreds of trillions. This has led some traders to question whether the latest burn burst represents genuine momentum or just another brief catalyst.