SHIB Price Faces Sudden Decline

Shiba Inu's Price Takes a Hit, But Recovery May Be On the Horizon

Shiba Inu (SHIB), the second-largest memecoin by market capitalization, has experienced a sudden decline in price after a recent surge. The past 24 hours have seen a 4.5% drop, attributed to a decrease in active Shibarium accounts and daily transactions.

Shiba Inu's Price Fluctuations

Over the past two weeks, SHIB's price increased by nearly 20%, only to decline again. Currently, SHIB trades at around $0.00001868, reflecting a 4.5% daily drop.

Factors Influencing the Decline

The price pullback coincides with a decrease in Shibarium ecosystem metrics. Active accounts have fallen from 631 to 209, and daily transactions have significantly reduced.

Shibarium, launched last August, aims to enhance the Shiba Inu ecosystem by increasing speed and scalability while reducing transaction costs. While it has achieved several milestones, experts believe further advancements are necessary for SHIB's potential price growth.

Memecoin Market Downturn

The recent price drop in SHIB may also be influenced by the general downturn in the memecoin market. Dogecoin (DOGE), Pepe (PEPE), and Bonk Inu (BONK) have all experienced significant declines, with the market cap dropping nearly 2%.

Potential Recovery Insights

Despite the current downturn, some data suggests SHIB may rebound due to:

• Reduced selling pressure from a shift to self-custody methods
• Significant upgrades, including a new user interface for improved wallet compatibility
• Continuous development milestones in the Shibarium ecosystem
• Industry experts emphasizing the need for further advancements to boost price potential

CryptoQuant data indicates a negative net flow in the SHIB market over the past week, suggesting a movement from centralized platforms to self-custody, which reduces immediate selling pressure.