3.2 Million SHIB Burned: Shiba Inu Burn Rate Slows as Price Momentum Holds Strong

Shiba Inu (SHIB) entered 2026 with remarkable momentum, particularly in terms of on-chain activity and token burns. However, recent data suggests that this pace has started to cool. According to figures from Shibburn, SHIB’s burn rate declined by approximately 17% over the past 24 hours, indicating a slowdown in the pace at which tokens are being permanently removed from circulation.

This deceleration follows a period of intense burn activity at the start of the year, when SHIB recorded five-figure percentage increases in its burn rate alongside a surge in price and trading volume. Such early-year spikes often reflect renewed market enthusiasm, but they are not always sustainable at the same intensity.

Despite the slowdown, burn activity remains meaningful. Over the last day alone, 3,200,022 SHIB tokens were sent out of circulation, reinforcing the project’s ongoing deflationary efforts. The core objective of SHIB’s burn mechanism is to gradually reduce its massive circulating supply, thereby increasing scarcity and supporting potential long-term price appreciation.

Following the most recent burns, Shiba Inu’s circulating supply now stands at approximately 585.28 trillion SHIB as of January 3. While this number remains large, continued burns are viewed by the community as a critical component of SHIB’s long-term value narrative.

What stands out most is that price action has remained positive despite the decline in burn rate. Shiba Inu has maintained bullish momentum into early 2026, reflecting sustained demand for the token. SHIB recently reclaimed the $0.000008 level, a psychologically important threshold for traders and holders alike.

At the time of writing, SHIB is trading around $0.000007924, marking a gain of more than 3% over the past 24 hours. This suggests that market participants are responding to broader factors beyond daily burn metrics, including sentiment around meme coins, speculative interest, and overall crypto market conditions.

Analysts note that short-term fluctuations in burn activity are not unusual and do not necessarily undermine SHIB’s broader outlook. As long as supply reduction continues and demand remains intact, temporary slowdowns in on-chain metrics may simply reflect a period of consolidation rather than weakness.

In summary, while Shiba Inu’s burn rate has eased from its early-2026 highs, millions of SHIB are still being removed from circulation, and price momentum remains intact. This combination points to a market that is stabilizing rather than reversing, with SHIB continuing to attract attention as the new year unfolds.