Shiba Inu’s layer-2 blockchain, Shibarium, recently achieved a significant milestone by surpassing 100 million transactions. This achievement has brought considerable exposure to the SHIB token, resulting in a substantial price surge. According to Coingecko, the token’s price has experienced nearly an 8% increase in the weekly timeframe, with the most significant surge occurring over the bi-weekly period, reaching 23%.
Shiba Inu is not only benefiting from Shibarium’s recent milestone but also from the broader market’s positive performance as the year comes to an end. As the market shows overall gains, Shiba Inu strives to follow the bullish trend.
Shibariumscan reveals that the layer-2 chain has been experiencing exponential growth since its official launch in August of this year. In recent times, the platform has recorded an average of 7.36 million daily transactions, with the total number of processed transactions reaching an impressive 105.2 million. This remarkable growth can be attributed to the active involvement of the development team behind the scenes.
Shibarium has made strategic plans for the future by transitioning from the Goerli Network to the Sepolia Network as its layer-1 chain. This transition aims to provide developers with a reliable and consistent platform for testing their decentralized applications (dApps) and smart contracts. The official launch on the Sepolia Network is scheduled for December 15, 2023. Consequently, the current Puppynet will cease to function on this date.
Burning SHIB Tokens
Shibarium’s blog post outlines the token burning process for SHIB, which occurs in two phases: manual and automatic. Presently, the platform is in the manual burning phase, with the team planning three significant manual burns this month. These burns will decrease the token supply available in the market, exerting upward pressure on SHIB’s price.
Market Influence and Price Outlook
The recent rally in the broader market has also influenced SHIB’s price positively. Coingecko data reveals that the market has witnessed a nearly 6% increase in the daily timeframe. If this upward trend continues, it is likely that SHIB will continue to provide gains for the bullish investors.
Currently, SHIB is on track to surpass another zero in its price, as the bulls manage to break through the $0.00000997 level. If the token stabilizes at this price point, it is probable that further gains can be expected in the near future.
However, one potential concern for SHIB’s long-term price action is its heavy reliance on major cryptocurrencies such as Ethereum (ETH) and Bitcoin (BTC). As of now, the market’s trajectory heavily depends on Bitcoin’s recent bullish performance. If this streak ends, SHIB could face a challenging period.
Shiba Inu’s Shibarium blockchain has made a significant breakthrough by surpassing 100 million transactions. This achievement has contributed to a notable surge in the price of the SHIB token. Additionally, the transition to the Sepolia Network and the burning of SHIB tokens further contribute to the positive outlook for Shiba Inu. However, the token’s reliance on major cryptocurrencies for price action poses a potential long-term risk. As always, investors are advised to conduct thorough research and consider the risks before making any investment decisions.
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