Unraveling why Shiba Inu has been declining despite burning billions of SHIB
Shiba Inu has garnered an audience that is now too huge to be ignored, and thus, in order to justify its existence and its investments, the meme coin has been making attempts at rapidly developing its ecosystem.
Shiba Inu burns
Last week, the network began with its SHIB: The Metaverse land sales, and around the same time, it also announced the launch of its SHIB Burn portal, which has been making strides in its own ways.
The portal, within a week, has recorded over 20 billion SHIB being burnt out of the circulating supply. This burn feature is actually the user’s choice, and it does nothing more than show their dedication to making SHIB a sustainable and valuable currency.
By instilling a false sense of pride and accomplishment, Shiba Inu is simply trying to find a way to turn the joke of its existence into a legitimate purpose since, for obvious reasons, a currency with trillions in supply will never hold a high value.
But even with the burn feature, SHIB has a long way to go since the meme coin is not even worth 1 SATS at the moment, so reaching $1 is beyond dreams.
Plus, instead of increasing the price, SHIB has only been falling further. After the 14% price fall in the last 72 hours, SHIB fell to a 7-month low, trading at $0.00002083.
As it is, investors weren’t particularly happy with the coin’s price action, which is why between March and today, over 70k SHIB holders have exited the market. And now, with this development, it has only become much more difficult for them to maintain their “dedication and commitment” to the altcoin.
Regardless the network continues to gain support from brands and other companies, such as the Shib Inu inspired burger joint Welly.
Welly announced that the SHIB decentralized community would receive 15% ownership of the Welly Company and the use of the funds for burns or other purposes will be controlled by the community through the BONE DAO.
Utility 7 of 7
We're honored to grant @Shibtoken decentralized community FULL 15% ownership of the Welly Company! On our road to acquisition, this is an amazing way to give back to the community which loves us so much.
— WELLY (@wellyfriends) April 29, 2022
Thus, support from the community and attempts at keeping up with the trend is helping Shib Inu stay relevant, but when it all comes down to utility and foundation of the chain, SHIB might notice a decline soon, as it cannot ride the hype for too long.