Recent
price
action
indicates
that
Shiba
Inu
(SHIB)
is
currently
underperforming
compared
to
other
major
cryptocurrencies.
Over
the
past
seven
days,
SHIB
has
experienced
a
significant
decline
of
7.26%,
and
in
just
the
last
24
hours,
the
token
has
fallen
by
an
additional
2.58%.
This
downturn
is
particularly
noteworthy
when
compared
with
the
performance
of
Dogecoin
(DOGE),
its
meme
coin
counterpart.
Unlike
SHIB,

Dogecoin
has
enjoyed

a
robust
12%
increase
over
the
same
seven-day
time
frame. 

One
key
factor
contributing
to
SHIB’s
recent
struggles
is
a
noticeable
decline
in
several
crucial
Shibarium
metrics
over
the
past
24
hours.
Shibarium,
the
L2
blockchain
network
associated
with
Shiba
Inu,
has
seen
a
drop
in
user
engagement,
transaction
volume,
and
other
important
indicators,
which
has
likely
contributed
to
a
lack
of

 

full
bullish
sentiment

surrounding
the
token. 

Shiba
Inu’s
Shibarium
Falls
In
Key
Metrics

Built
upon
the
Ethereum
blockchain,
Shibarium
is
Shiba
Inu’s
layer-2
solution
designed
to
enhance
scalability
and
strengthen
the
overall
Shiba
Inu
cryptocurrency
ecosystem.
Interestingly,
Shibarium
has
been
closely
linked
to
SHIB’s
price
movements
since
it
launched
last
year,
often
driving
significant
fluctuations.
SHIB’s
price
has
historically
experienced
appreciable
gains
during

periods
of
heightened
activity

on
the
network
driven
by
increased
SHIB
transactions
and
bullish
market
sentiment

However,
recent
data
from

Shibariumscan

shows
that
Shibarium
has
lacked
significant
activity
in
the
past
few
days.
Specifically,
the
number
of
active
accounts
on
the
network
has
dramatically
declined,
dropping
from
667
on
July
21
to
just
113
at
the
time
of
writing.
This
represents
a
substantial
83%
decrease
in
active
accounts
within
two
days.
Additionally,
the
number
of
new
transactions
on
the
layer-2
network
has
plummeted
sharply,
falling
from
6,353
on
July
21
to
only
524
in
the
last
24
hours.

Something
To
Worry
About?

These
metrics
suggest
a
significant
drop
in
user
engagement,
transactional
activity,
and

SHIB
accumulation

on
Shibarium,
raising
questions
about
the
network’s
current
vitality
and
its
impact
on
SHIB’s
market
performance.
This
reduction
in
activity
could
also
suggest
broader
challenges
within
the
Shiba
Inu
ecosystem,
such
as
waning
investor
interest
among
other
meme
coins
and
utility
tokens.

However,
Shiba
Inu
has
demonstrated
remarkable
resilience
over
the
years,
cultivating
a
large
and
dedicated
community
of
enthusiasts.
The
current
slowdown
in
Shibarium’s
activity
could
be
temporary.
Activity
could
pick
up
with
just
a
few
whale
accumulations
or
the
announcement
of
a

 

community
update

from
the
Shiba
Inu
team. 

On
the
other
hand,
some
SHIB

bulls
are
working

behind
the
scenes
to
resume
an
upward
price
trajectory. 
Notably,
burn
statistics
reveal
a
dramatic
increase
in
SHIB
burns,
surging
by
428.88%
in
the
past
24
hours
alone,
with
60
million
SHIB
tokens
sent
to
dead
wallets.
This
increased
burning
activity
is
an
effort
to
reduce
the
circulating
supply,
which
could
positively
impact
SHIB’s
price
in
the
long
term.

At
the
time
of
writing,
SHIB
is
trading
at
$0.00001744,
having
recently
rebounded
from
a
support
level
of
$0.00001710.

Featured
image
created
with
Dall.E,
chart
from
Tradingview.com

Go to Source
Author: Scott Matherson

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