These Shiba Inu metrics rise as SHIB price posts minor gains – details

TL;DR

Shiba Inu (SHIB) experienced a small daily price increase and significant growth in transactions and new contracts on the Shibarium network. Despite overall bullish conditions, one analyst warned of a possible 10% price drop. The rebirth of SHIB

The cryptocurrency market has been green in the past 24 hours, with several digital assets posting substantial gains. Popular meme coin Shiba Inu is among these, which witnessed a 3% increase and is currently around $0.0000167 (according to data from CoinGecko).

The resurgence coincides with some important SHIB-related indicators that have also headed north. Data shows that the number of new daily transactions on the Shibarium layer 2 blockchain solution has increased by 15%, reaching almost 6,000 on July 25. New contracts have soared 350%, from just 8 on July 24 to 36 a day later.

Shibarium was officially launched in August 2023 and its main goal is to foster the development of the Shiba Inu ecosystem. Its main purposes include improving network scalability, reducing transaction costs, and improving speed. As such, some industry participants believe that further advancement of the protocol could positively affect SHIB’s valuation. For more updates on the ecosystem, be sure to check out our Shibarium News.

Another key indicator that has increased in the last 24 hours is SHIB’s aggregate daily transaction volume (each exceeding $100,000). The number reached almost $30 million, a 62% increase in 24 hours.

The increase in whale activity, combined with an overall rise in the crypto market, can be seen as a sign of investor confidence. This can lead to increased demand and growing interest in the token, which can attract additional participants to the ecosystem.

What does the future hold?

Other important metrics, such as the SHIB net exchange flow and the Relative Strength Index (RSI), suggest that the rise could continue in the near future.

As noted on CryptoQuant, SHIB outflows have mostly outpaced inflows over the past month, indicating a shift from centralized platforms to self-custodial methods. This is generally considered bullish as it reduces immediate selling pressure.

The RSI, which measures the change and speed of price movements, ranges from 0 to 100. A ratio above 70 indicates that the asset may be overbought and a correction could be imminent. The RSI is currently at 46.

On the other hand, an X user predicted some potentially bad news for the SHIB bulls. They assumed that the token could go down to $0.000015 if the major resistance level of $0.000017 is missed. As mentioned above, the price is trading below this mark as of now.

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