Why are coins burned? And how does the price of a crypto increase after it is burned?

how are you all I hope everyone is very well, today I will talk about what is Coin Burning? Why is burning? And how burning affects the price of coins, So let's begin, Some of the reasons behind the huge pump/hype in the coin, one of the reasons is Burning News, It is often observed that various coins come in Burning News and after that a huge pump of coins is seen. First of all, what is Burning? Deliberately wasting coins, so a specific Unknown Address Coin is sent and later that coin is never recovered. Let's know the reasons behind pumping coins as a result of burning,

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First of all, when creating a coin, a certain amount of coins is kept as MAX Supply, for example, 21M Coins are created, more than 1 more coin cannot enter the market, then coins gradually come to the market, for example, there are 50% coins in the market, if 10% of the coins are If it is destroyed or burned, the coins will decrease, and 40% will remain with the founder, which means that in the future, only 40% of the coins will come to the market, so the sell pressure on the coins will decrease, the demand for the coins in the market will decrease, if it is burned constantly, then the coins will be hyped. comes, the demand increases, and gradually the price of the coin starts to rise,

The main 2 coins that are constantly burning are Binance Coin (BNB) and (XRP), BNB always burn coins based on its Gas Fee, regular trading volume, token price and produced blocks, and then we can see the BNB price day by day. What is the effect on this?

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On the other hand, they are constantly burning coins based on XRP transactions,

Many of us know about NotCoin's second project NotPixel Coin, NotPixel Team announced a few days ago that they will burn 50% of their total supply of 250 Million Coins,

They will gradually buy that 50% from the coin market and burn it, which can be said to be a good thing!

This will result in inflation, promotion, increased confidence in the project, increased investor confidence, reduced volatility, and then the market value will increase!

I hope you all understand, I am ending today here, everyone stay well, stay healthy