THE Shiba Inu Ecosystem (SHIB) is about to record another milestone, with the Shibarium layer 2 network approaching 5 million blocks. Despite this development, the price of the Shiba Inu has remained lukewarm for a while now, which undoubtedly worries members of the community. SHIB Community.
Shibarium is about to reach 5 million blocks
Data of the Shibariumscan shows that the total number of blocks on the Shibarium Network is above 4.9 million, approaching the 5 million mark. These blocks contain records of all transactions processed on the network. Such a milestone is important because it highlights how far the Shibarium has come.
However, The price of the Shiba Inu did not react positively to this development. The meme coin is currently experiencing a downtrend, which is believed to be due to other on-chain metrics giving it a bearish outlook. Data from CoinMarketCap shows that SHIB’s trading volume has declined by more than 20% in the past 24 hours, suggesting a lack of interest in the meme coin among investors.
Shiba Inu Burn Rate is also down more than 26% in the last seven days, which is significant given how these token burns have contributed to the meme coin’s price surge in the past. Interestingly, the drop in burn rate is partly due to the drop in daily transactions on the Shibarium network.
Daily transactions on the layer 2 network have been at their lowest for some time now, with Shibarium only seeing a daily transaction above 20,000 once this month. The decline of Total Shibarium Value Locked (TVL) also suggests a lack of investor confidence in the Shiba Inu ecosystem. Data from DeFiLlama shows that Shibarium’s TVL currently stands at $2.2 million, down from its peak of $3.9 million in March of this year.
Shiba Inu On-Chain Metrics Paint a Bullish Picture
Another on-chain metrics paint a bullish picture of the Shiba Inu and suggest that its recent decline is simply a healthy retracement. Data from market intelligence platform IntoTheBlock shows that Shiba Inu has recently recorded Net Network Growthwhich means more and more users are adopting the meme coin.
Meanwhile, data from IntoTheBlock also shows that Shiba Inu Whales are still betting heavily on the same coin, with a nearly 4% increase in large trades in recent days. This is a very positive development for Shuba Inu, as such large transactions could trigger a price recovery for the meme coin.
Meanwhile, Shiba Inu’s fundamentals are strong, with a lead developer Shytoshi Kusama recently breeding the possibility of a Shiba Inu Spot ETF. Coinbase International Exchange also recently announced that it will add support for Shiba Inu perpetual futures on its platform. Exchanges will officially begin on May 30.
At the time of writing, SHIBis was trading at around $0.00002444, down over the past 24 hours, according to data from CoinMarketCap.
Featured image created with Dall.E, chart from Tradingview.com
