Shiba Inu’s (SHIB) Layer 2 Platform Shibarium Witnesses Decline in User Activity
beincrypto.com 11 July 2024 12:50, UTC The demand for Shiba Inu’s (SHIB) Layer 2 (L2) platform Shibarium has plummeted. On July 9, user activity on the network fell to a monthly low.
The number of active and new addresses on the network has trended downward since July 5. As of July 10, the number of new accounts created on the L2 totaled 11.
Users Ignore Shibarium
Shibarium operates as an Ethereum L2 solution designed to improve scalability and transaction efficiency on the Ethereum blockchain. It is built to significantly reduce transaction times and costs.
Data from Shibariumscan has shown a steady decline in user activity on the network in the past few days.
According to the on-chain data provider, the daily count of unique addresses that completed at least one transaction on Shibarium totaled 504 on July 9, marking the network’s monthly low.
The drop in active address count on Shibarium began on July 5 and has since declined by 33%.
Read More: How To Buy Shiba Inu (SHIB) and Everything You Need To Know
Further, the number of new accounts created on the L2 has also dwindled. As of July 10, only a mere 11 new addresses were created on Shibarium, a 93% decrease from the 167 new addresses created on July 5.
Due to the fall in new accounts on the network, the number of new transactions has also dropped. On July 9, it fell to a monthly low of 3,400.
SHIB Price Prediction: Meme Coin Sees Surge In Liquidity Inflow
Following an extended period of decline, Shiba Inu (SHIB) might be poised for a rally. The meme coin’s price has risen 8% in the last week. As of this writing, the coin trades at $0.00001656.
The coin’s Chaikin Money Flow (CMF) has maintained an uptrend in the past few days, confirming that the price rally is backed by actual demand from market participants. This indicator measures how money flows into and out of an asset.
When an asset’s price rises along with its CMF indicator, it typically signals strong buying pressure and positive momentum. Significant volume supports the upward price movement, indicating that the price rise is more likely to be sustainable.
If this trend continues, SHIB’s price might rally to trade at $0.00001767.
Read More: Shiba Inu (SHIB) Price Prediction 2024/2025/2030
However, if profit-taking activity commences at this level, the coin’s price might drop to $0.00001651.
