Journalist
Posted:
- Shiba Inu ranked one on the list of meme coins by social activity.
- SHIB was down by 4% in the last 24 hours, and a few metrics looked bearish.
Shiba Inu [SHIB] recently witnessed a considerable hike in its social activity, reflecting its popularity. This happened at a time when the ecosystem’s much-talked-about L2, Shibarium, was on the verge of reaching a new milestone.
Will these developments have a positive impact on the meme coin’s price action?
Shibarium to reach a new milestone!
Shibarium’s adoption has been on the rise, which has allowed the L2 to come closer to reaching a new milestone.
AMBCrypto’s look at Shibariumscan.io’s data clearly revealed that Shibarium was only 1.3 million transactions away from reaching the 200 million mark.
At press time, Shiba Inu’s Shibarium had processed a total of 198.7 million, with a total of 1.3 million wallet addresses.
The L2 had processed more than 2.3 million blocks with an average block time of 5 seconds. An interesting thing was that Shibarium had a consistently high daily transaction count of nearly 7.7 million, which was commendable.
Source: Shibariumscan.io
While the blockchain’s L2 showcased high usage, Shiba Inu’s social activity rose. In fact, SHIB nabbed the top spot on the list of the meme coins in terms of social activity on 26th December.
As per CryptoDep’s tweet, SHIB’s social interactions touched 64.2 million with a social dominance of 0.41% during that day. Apart from SHIB, Dogecoin [DOGE] and BONK also made it to the top three on the same list.
⚡️TOP #MEME Tokens by Social Activity $SHIB $DOGE $BONK $PEPE $FLOKI $QUACK #BABYDOGE $VINU $TSUKA $YOOSHI pic.twitter.com/vyOo0KEMLV
— 🇺🇦 CryptoDep #StandWithUkraine 🇺🇦 (@Crypto_Dep) December 26, 2023
Shiba Inu investors aren’t happy
Though these aforementioned updates looked optimistic for Shiba Inu, its price action continued to remain under bears’ influence.
According to CoinMarketCap, in the last 24 hours alone, SHIB was down by over 4%.
At the time of writing, it was trading at $0.00001045 with a market capitalization of over $6.16 billion. Its trading volume increased while its price dropped, which legitimized the downtrend.
To better understand what was going wrong with SHIB, AMBCrypto took a look at its on-chain metrics. We found that after registering a spike, SHIB’s MVRV ratio sank.
Negative sentiment around the token was dominant in the market, as evident from the dip in its weighted sentiment.
Source: Santiment
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Nonetheless, investors used this as a buying opportunity. SHIB’s supply on exchanges plummeted sharply in the recent past, while its supply outside of exchanges increased. This clearly meant an increase in buying pressure.
Additionally, Shiba In’s network growth remained high, meaning that more new addresses were created to transfer the meme coin.
