- SHIB was up by over 10% in the last 24 hours.
- Market indicators suggested a trend reversal.
Shiba Inu’s [SHIB] much-talked about layer-2, Shibarium, recently reached a new milestone. The achievement highlighted a notable rise in the L2’s usage and adoption.
While the L2’s usage rose, SHIB’s price also gained upward momentum.
Shibarium crossed a new milestone
Shibarium, the much-talked-about L2, recently reached a new milestone. To be precise, the L2 successfully processed over 400 million transactions.
According to Shibariumscan, at the time of writing, the L2 had processed over 412 million transactions with an average block time of five seconds. The L2 had a total of over 1.3 million wallets at press time.
Source: Shibariumscan.io
In the meantime, SHIB’s rice gained upward momentum after days of bearish pressure. According to CoinMarketCap, the meme coin was up by over 10% in the last 24 hours alone.
At the time of writing, SHIB was trading at $0.00002916 with a market capitalization of over $17 billion, making it the 11th largest crypto.
Will the uptrend last?
To check whether SHIB’s uptrend would last longer, AMBCrypto took a look at its on-chain metrics. As per our analysis, SHIB’s Social Volume remained high, reflecting its popularity in the crypto space.
Its Weighted Sentiment also went in the positive direction, suggesting that bullish sentiment around the meme coin increased in the last few days.
Source: Santiment
Additionally, we found that Shiba Inu’s Network Value to Transactions (NVT) ratio registered a downtick.
A drop in the metric usually means that an asset is undervalued, which increases the possibility of a northbound price movement in the coming days.
Source: Glassnode
On top of that, we found that buying pressure on the meme coin was also high. This was evident from the fact that its Supply on Exchanges went down during the last few days.
In fact, whales were actually buying Shiba Inu as its supply held by top addresses rose at press time.
Source: Santiment
To better understand which way SHIB was headed, AMBCrypto checked its daily chart. Despite the hike in buying pressure, market indicators looked bearish on the token.
Read Shiba Inu’s [SHIB] Price Prediction 2024-25
As per our analysis, Shiba Inu’s Relative Strength Index (RSI) registered a sharp downtick. The Money Flow Index (MFI) also followed a similar trend of decline.
These indicators hinted that the chances of a price decline were high. Therefore, whether SHIB manages to maintain its uptrend will be interesting to watch.
Source: TradingView