Shiba Inu has just recorded an explosive increase in its 24-hour burn rate, which represents the highest surge in the metric seen this month.
Over the past days, the Shiba Inu burn activity has been considerably modest; hence, the substantial increase seen over the last day has drawn attention from market analysts.
Six-figure surge in SHIB burn rate draws attention
Per the latest data from the Shiba Inu burn tracker, Shibburn, the Shiba Inu burn rate has soared substantially by 428,862% over the last 24 hours.
Although the network is known for its large-scale token burns, such an explosive increase in the metric is barely witnessed, marking the highest surge in the Shiba Inu daily burn seen on this month.
Following the massive six-figure increase in the Shiba Inu burn activity, the data further showed that over a million SHIB tokens were destroyed during the period.
When compared to its average daily burns, the 1.4 million SHIB burnt in the last day appears considerably lower. However, it appears that the activity had become extremely slow in the previous days, hence the reason behind such a massive surge.
Could a high burn rate drive the SHIB rally?
The massive surge in the Shiba Inu burn rate has come as the broader crypto market begins to recover from the extreme volatility seen in the past week.
Following this broader market rebound, Shiba Inu has also recovered from its recent low with about a 3% price increase over the last day and is now trading near the key $0.000005 level.
With such a sharp resurgence in the Shiba Inu network activity coinciding with a recovery in its price, it appears that momentum may be building once again.