Shiba Inu (SHIB), one of the most talked-about tokens in the crypto space, is back in the spotlight after a significant token burn took place within a 24-hour window. A total of 3,333,333 SHIB tokens were permanently removed from circulation, reinforcing a growing trend that has captured the attention of traders and investors alike. While the sheer volume of the token’s total supply remains massive, these consistent burns have started to send stronger signals to the market, especially amid shifting investor sentiment.

Despite the broader market showing signs of recovery, SHIB has struggled to keep up. The token has lost close to 3% in the last 24 hours and remains nearly 16% down on the weekly chart. However, the latest burn is not an isolated event. Instead, it fits into a broader pattern of weekly token burns that are growing both in frequency and volume. Over the last week, SHIB’s burn rate spiked by over 120%, which many see as a coordinated effort to gradually reduce the circulating supply.

Token burns have long been seen as a supply-side measure to increase scarcity. In SHIB’s case, with a total supply that still exceeds 589 trillion, each burn may seem like a drop in the ocean. However, repeated reductions, even small ones, can add up over time—especially when investor sentiment begins to tilt in a more optimistic direction. This recent activity comes as bullish sentiment is quietly building in both the spot and derivatives markets, pointing to a possible shift in momentum.

In the spot market, there has been a noticeable increase in buying activity following the burn. Investors who had previously pulled back appear to be re-entering the market, seizing the current price level as a potential discount. Over the past day, SHIB purchases have exceeded $1.5 million, indicating renewed interest and possibly a strategic response to the declining supply. This reversal in spot activity could be a key signal, as it reflects growing confidence among holders that a price turnaround may be on the horizon.

The optimism isn’t limited to spot traders. In the derivatives market, futures traders are also beginning to lean bullish. Data reflecting open interest combined with funding rates shows that many are taking long positions, betting that SHIB’s value will climb. These moves in the futures market often precede broader price swings, suggesting that experienced traders are positioning early for what they expect to be a significant move.

One of the more interesting developments is the role that U.S.-based investors are playing in this potential turnaround. While global sentiment remains split almost evenly between bullish and bearish expectations, platforms with a strong American user base are showing a different trend. On major U.S. exchanges, the majority of traders are currently taking long positions on SHIB. For instance, trading platforms like Kraken report that more than 70% of their users are favoring upward price action. Even on platforms where sentiment is more balanced, such as Coinbase, the bullish side slightly outweighs the bearish.

This localized optimism among U.S. traders may stem from several factors. Regulatory clarity, access to high-liquidity platforms, and renewed interest in digital assets following a prolonged bear market could be fueling investor confidence. Moreover, U.S. retail and institutional investors have historically played a major role in shaping crypto market trends, making their recent activity worth watching closely.

While it’s too early to declare a full-blown reversal, the signs of a potential bullish setup are becoming harder to ignore. With supply gradually decreasing and demand slowly picking up, SHIB could be laying the groundwork for a more sustainable price recovery. However, much will depend on whether this trend continues and if the buying pressure can hold up in the face of ongoing market uncertainty.

In conclusion, the burn of 3,333,333 SHIB tokens in 24 hours is more than just a symbolic act. It reflects a growing effort to manage supply and could serve as a catalyst for renewed interest among investors. Combined with rising trading activity and an uptick in bullish sentiment—especially from U.S. markets—Shiba Inu may be inching closer to a turning point. Whether it leads to a lasting breakout or remains a short-term blip will ultimately depend on market conditions and the continuation of current trends.