Shiba Inu (SHIB) is under sell pressure as its burn rate has hit an absolute halt, with data from Shibburn showing a sharp fall in the token burning. The total number of SHIB tokens burned from the very start still remains at 410,748,494,626,099 out of the original supply.
Shiba Inu burn rate falls 100%
The burn rate of Shiba Inu has entirely slowed down according to Shibburn data. It indicates a 100% drop in burn activity over the past 24 hours. This means no SHIB tokens have been destroyed from circulation during this period.
This dramatic lull in token burns comes on the heels of a major spike in burn activity on May 11, 2025. It was the day that the burn activity spiked by 9400%. The sudden flip from heightened burning to complete inaction highlights the volatile nature of SHIB’s burn function.
SHIB investors have closely tracked the burn rate, which most directly influences the token’s supply. Burns typically take place through various mechanisms. Spontaneous burns performed by community members, project initiatives, and the automated burning mechanism of the Shibarium Layer 2 solution are some of these.
What did the SHIB team do for the meme coin?
The Shiba Inu team has expanded the project since its creation, according to team member LUCIE’s recent tweet. The journey began in 2020 when the team acquired SHIB after its initial release by Ryoshi as a decentralized ERC-20 token without any pre-sale or team tokens.
What the Shib Team Did for SHIB
Source: https://t.co/KBMdomim9y
1. Embraced SHIB After Creation (2020)
• SHIB was launched by Ryoshi as a decentralized ERC-20 token — no pre-sale, no team allocation. The Shib team later adopted the project and expanded it massively.
2. Built…
— 𝐋𝐔𝐂𝐈𝐄 (@LucieSHIB) May 16, 2025
In 2021, the group created ShibaSwap and introduced DeFi utility through staking (bury), liquidity farming (dig), and token trading. This was after the release of Shibarium Layer 2 in 2023. The Shibarium implementation also included an auto-burn mechanism where a share of gas fees is used to buy and burn SHIB.
The ecosystem continued to grow in 2024 with the development of a SHIB Identity System for decentralized applications and Web3 accounts. LUCIE pointed out universal adoption through listings on over 100 major exchanges like Binance, Coinbase, Kraken, and Crypto.com.
Adoption in the world has expanded with SHIB being used as payment by firms like Newegg, AMC Theatres, select Gucci locations, Travala.com, and via payment processors to thousands of merchants. The firm has also diversified into gaming and NFTs with different titles including Shiba Eternity, Lap Dogs, Agent Shiboshi, and Shiboshi Rush, along with NFT sets like Shiboshis and Sheboshis.
55% of token holders are at a loss
Recent market statistics from IntoTheBlock reveal that it has not been a good period for Shiba Inu investors. From the statistics, 55% of all SHIB addresses are in the red. This means that more than half of all addresses holding SHIB purchased their tokens at prices higher than the current market trading price.
The distribution of profit to owners also breaks down as 43% of owners in profit and only 2% breaking even. This underwater position, for the majority of investors, offers potential selling pressure.
Time-series holdings data also reflect a largely long-term holder community since 78% of the holders hold it for more than a year. 20% of the holders are medium-term holders (for 1 to 12 months). Additionally, a mere 2% are short-term holders (holding for less than a month).
While Shiba Inu currently hovers around the $0.000015 level, the real question is whether the SHIB price can hold that level. According to analysis shared by analyst SHIB KNIGHT, the meme coin is forming a falling wedge pattern.
$SHIB is forming a falling wedge pattern. Target is around 0.00002 pic.twitter.com/WWdWNmPemE
— $SHIB KNIGHT (@army_shiba) May 16, 2025
A falling wedge pattern is a sign of a potential bullish reversal. It mainly means that the selling pressure is fading away and that the buyers are taking over. As per the analyst, Shiba Inu is expected to hit the $0.00002 level.
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Vignesh Karunanidhi
Vignesh Karunanidhi is a seasoned crypto journalist with nearly 7 years of experience in the cryptocurrency industry. He has contributed to numerous publications, including WatcherGuru, BeInCrypto, Milkroad, and authored over 10,000 articles
Disclaimer: The presented content may include the personal opinion of the author and is subject to market condition. Do your market research before investing in cryptocurrencies. The author or the publication does not hold any responsibility for your personal financial loss.
