Shiba Inu (SHIB): Is the Recent Slump a Sign of Waning Interest in the Cryptocurrency?
Shiba Inu (SHIB) cryptocurrency, known for its dog-inspired theme, is encountering difficulties in breaking free from a recent slump.
According to on-chain data, a decrease in network growth and long-term holders looking to sell their holdings could hinder SHIB’s price resurgence.
Glassnode’s recent data indicates a downward trend in new addresses on the Shiba Inu ecosystem since March’s beginning.
Currently, there are only 1,759 new addresses compared to 4,575 addresses recorded in February, highlighting a possible lack of interest in the coin or a shift towards other virtual assets.
According to Santiment, long-term holders of SHIB are offloading their assets, resulting in a significant sell-off and adding to the downward pressure on prices.
Moreover, on-chain data reveals a delay in active addresses, which represents the number of users engaged in successful transactions on the network. A decrease in new addresses on a blockchain network may imply a lack of enthusiasm for the platform’s essential services, potentially presenting a difficulty for SHIB in the near future unless this trend reverses.
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The latest update shows that the number of active addresses for Shiba Inu in the past 30 days has reduced to 106,000, indicating a decreased interest in using the token for transactions. The decline could be due to SHIB’s lackluster performance, resulting in an 18.65% drop in the same period.
Market analysts and investors are pondering if SHIB can rebound soon. Despite the impressive 5,000% surge in SHIB’s burn rate, the value of the token has remained unchanged over the last two weeks. Nonetheless, if SHIB surpasses its resistance level of $0.000012, it could prompt bullish investors to regain control and sustain a price upswing.
Alexander Stefanov
Reporter at CoinsPress
Alex is an experienced finance journalist and a cryptocurrency and blockchain enthusiast. With over five years of experience covering the industry, he deeply understands the complex and constantly evolving world of digital assets. His insightful and thought-provoking articles provide readers with a clear picture of the latest developments and trends in the market. His passionate approach allows him to break down complex ideas into accessible and insightful content. Follow up on his content to be up to date with the most important trends and topics - stay ahead of the curve with CoinsPress.
