Meme coin Shiba Inu surged as much as 9% on Thursday.
Hodlers of the popular crypto recorded gains supposedly triggered by the crypto’s token burn system.
The burn rate surged with over 110 million tokens burned in the last 24 hours.
Around 40% of the total supply has been burned.
Thursday’s price surge also recorded a weekly high for the meme coin.
Leading meme crypto Dogecoin also saw an uptrend in price following Shib’s surge.
The second largest crypto meme coin Shiba Inu saw a surge in burn rate and asset price on Thursday amid widespread losses in the digital asset market as market leaders like Bitcoin and Ethereum took a breather.
At press time, SHIB is the 12th largest cryptocurrency in the world with over $7.53 billion in market cap per CoinMarketCap data. The cryptocurrency is also the second biggest meme coin, second only to meme coin leader Dogecoin.
The token’s developers introduced its burn mechanism back on April 23, 2022 with a dedicated burn portal dubbed Shibburn. Since its announcement, the burn system has destroyed over 410.365 trillion SHIB tokens. This accounts for about 40% of the token’s total supply at press time.
On Thursday, the token’s burn rate surged and over 100 million tokens were destroyed in a matter of hours. Following the spike, a rally occurred and the coin’s price shot up as much as 9%.
The uptrend in asset price also marked a weekly high for the meme coin as crypto tokens struggle to gain momentum.
SHIB Price Rally Backed By Ecosystem Expansion
In addition to a sharp increase in burn rate, a key announcement could also be behind the fresh interest in the meme coin. Back in July, developers revealed that work was underway for a stablecoin, a reward token called TREAT, and a dive into the metaverse.