Shiba Inu price has plunged in the past three months, erasing most of the gains made in 2024. The SHIB token plunged to a low of $0.00001280, down by over 62% from its highest level in November. So, will the Shiba Inu coin price bounce back after its Shibarium network crossed the 100 million milestone?
Shibarium Has Crossed a Crucial Milestone
Shiba Inu price has plunged this week even as the number of addresses in the ecosystem continued rising and crossed a key milestone.
Data by ShibariumScan shows that the number of addresses in the Shibarium network has jumped to over 104.1 million. This is notable since the network crossed the 100 million milestone this week.
Shibarium is also approaching the 950 million milestone in terms of completed transactions. It has handled over 947 million transactions, a trend that may continue and hit the 1 billion milestone soon.
These numbers mean that the Shibarium network is doing well in terms of transaction volume. However, the ecosystem remains under pressure this year, with the total value locked (TVL) crashing to $1.93 million. Most DeFi networks in the network, such as ShibaSwap, WoofSwap, ChewySwap, and DogSwap, have shed substantial assets.
However, on-chain metrics show that the Shiba Inu network is not doing well. The number of active addresses has continued falling in the past few months. There are now 113,000 active addresses, down by about 240k from the highest level this year.
Further, the number of Shiba Inu transactions has continued falling in the past few months, hovering near the lowest level since November last year.
Shiba Inu Price Technical Analysis
SHIB chart by TradingView
The daily chart shows that the SHIB price has been in a strong bearish trend in the past few months. As the 50-day and 200-day moving averages flipped, the chart formed a death cross pattern, one of the most bearish ones in the market.
On the positive side, the token has formed a falling wedge pattern comprising two descending and converging trendlines. A bullish breakout usually happens when the two lines are about to converge.
The coin has also formed a giant double-bottom pattern at $0.00001261, with a neckline at $0.00003326. Therefore, the combination of the falling wedge pattern and the double-bottom will point to more upside, with the most optimistic view at $0.00003326, up by 160% above the current level.
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