Shiba Inu torched 110M tokens in its biggest bonfire in 6 months — price said "meh" 🔥

More than 110 million $SHIB were sent to dead wallets on July 8, marking the largest single-day burn for the Shiba Inu network in six months, according to Shibburn data. Over the past week, the Shiba Inu community burned 152 million+ $SHIB, lifting the weekly burn rate by 55.77%. Despite the pickup in burn activity, $SHIB has continued to slide, falling 4.57% on the daily chart and more than 5% over the past week.

The price response highlights a familiar supply-demand mismatch. Since launch, the Shiba Inu community has burned more than 410 trillion $SHIB, yet roughly 585.6 trillion tokens remain in circulation. Recent burn volumes, while the largest in months, remove only a small fraction of total supply and have not materially tightened circulating tokens.

Broader memecoin market conditions reinforce the trend. During the Q4 2024 rally, memecoins accounted for more than 10% of the total altcoin market cap. That share has since dropped to 3.7% at press time, indicating ongoing capital outflows from the sector. With demand weakening, reduced supply from token burns has not been enough to offset the broader decline in liquidity.

$SHIB remains closely tied to memecoin sector flows rather than its own deflationary tokenomics, and weekly price action continues to reflect that dependence.