Is Shiba Inu (SHIB) on the Verge of a Price Surge Soon?

TL;DR

• Shibarium has experienced a resurgence, with both daily transactions and active accounts reaching impressive levels.
• The burn rate for Shiba Inu has surged by nearly 7,000%, reducing supply and potentially increasing value, while the current RSI indicates the token may be nearing oversold conditions, suggesting a possible buying opportunity.

Revival of Shibarium

The Shiba Inu layer-2 blockchain solution had hit a plateau in its developments over recent months. Nevertheless, there has been a visible resurgence in the last few days, with several key metrics rising to levels reminiscent of early 2024.

According to data, daily transactions on the protocol reached nearly 1.8 million on October 22, marking a 1,300% daily increase. Additionally, active accounts surged, hitting a one-year peak of over 26,000 yesterday.

Shibarium enhances the scalability and transaction efficiency of the Shiba Inu ecosystem, paving the way for more users to engage with the platform for decentralized applications. This could elevate the demand for SHIB as a utility token, potentially driving up its price.

Moreover, the impressive rebound of the protocol may bolster confidence in the meme coin project, drawing in new investors and a fresh influx of capital. For updates on the ecosystem, visit our Shibarium news section.

Currently, Shiba Inu’s price is slightly down today (October 23), with its market capitalization dipping below $11 billion. Conversely, the meme coin has shown strong monthly performance, achieving a 22% increase.

2 Additional Positive Factors

The burning mechanism for Shiba Inu suggests that SHIB’s price may rise in the near term. Recent statistics reveal that the burn rate has skyrocketed by nearly 7,000% over the past 24 hours, with over 27 million tokens sent to a null address.

This initiative is aimed at creating deflationary pressure on the meme coin, intending to ensure gradual value appreciation as the supply decreases (if demand remains steady or increases).

Lastly, we will discuss the SHIB Relative Strength Index, an indicator that assesses the speed and change of price movements. The momentum oscillator spans from 0 to 100, with values below 30 implying that the asset is oversold, signaling a potential buying opportunity. Currently, the RSI is just above that bullish threshold.