Token burning only raises prices when demand, utility and transparency align. Here’s when supply cuts work, and why SHIB and BNB tell different stories.
Token burns are a key part of many projects’ tokenomics. They permanently remove coins from circulation, but supply cuts alone don’t guarantee price gains.
Burns work best when supported by strong fundamentals, meaningful burn volume and rising demand.
Market trends, investor sentiment and burn transparency all shape price impact.
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Author: Abhinav Tewari
