Bitrabo Editorial
The Shiba Inu (SHIB) ecosystem is on the verge of achieving a significant milestone as Shibarium, its layer-2 network, nears 5 million blocks. Despite this accomplishment, the price of Shiba Inu remains stagnant, causing concern among its community.
Approaching 5 Million Blocks on Shibarium
Data from Shibariumscan indicates that the number of blocks on the Shibarium network is close to surpassing 4.9 million, highlighting the substantial growth of the network. However, despite this progress, the price of Shiba Inu has failed to respond positively. The meme coin is currently experiencing a downturn, potentially influenced by bearish on-chain metrics.
Recent figures from CoinMarketCap reveal that SHIB’s trading volume has decreased by over 20% in the last 24 hours, indicating waning investor interest in the meme coin. Additionally, Shiba Inu’s burn rate has dropped by more than 26% in the past week, significantly impacting its price, as token burns have previously led to price surges.
The decline in daily transactions on the Shibarium network has contributed to the decrease in the burn rate. With daily transactions hitting a low point and Shibarium’s total value locked (TVL) diminishing to $2.2 million from its peak of $3.9 million in March, investor confidence in the Shiba Inu ecosystem appears to be dwindling.
Positive On-Chain Metrics for Shiba Inu
Despite the current price decline, some on-chain metrics suggest a bullish outlook for Shiba Inu, implying that its recent setback may be a healthy retracement. Data from IntoTheBlock shows a notable Net Network Growth for Shiba Inu, indicating an increase in user adoption.
Furthermore, large transactions by Shiba Inu whales have risen by almost 4% recently, which could potentially spark a price recovery for the meme coin. Shiba Inu’s fundamentals remain robust, with lead developer Shytoshi Kusama hinting at the possibility of a Shiba Inu Spot ETF.
Coinbase International Exchange’s decision to support Shiba Inu perpetual futures starting May 30th further adds to the positive sentiment surrounding the meme coin. As of now, SHIB is trading at approximately $0.00002444, showing a decline in the last 24 hours according to CoinMarketCap.