As anticipation builds within the Shiba Inu (SHIB) community for the Shibarium launch, a layer-2 blockchain where SHIB will be the native token, an analysis of the SHIB’s recent performance paints an interesting picture. In the past month, SHIB holders have experienced 16 positive, 10 negative, and four neutral days, according to data from Finbold. Additionally, SHIB is marking its seventh consecutive week of positive growth, calculated by the difference between the opening and closing prices in each respective period.
Shibarium’s Arrival and Its Impact on SHIB
On August 5, SHIB breached the 200-day exponential moving average (200 EMA), a key technical analysis indicator for long-term price trends. This event marked a shift from its previous five-month trading period below the 200 EMA, which commenced on March 3. The crossing of the 200 EMA line could be a sign of growing positive sentiment among Shiba Inu investors and traders, possibly spurred by the upcoming Shibarium launch, scheduled for the end of August.
However, it’s worth noting that the initial planned Shibarium launch was in May, with a subsequent projection for the week of August 15-16. The latest prediction now places the launch in the last week of August, as per the Shiba Archives Twitter account.
Shibarium and Decentralized Exchange (DEX) Activity
The Ethereum Layer-2 (L2) blockchain, Shibarium, is set to compete with other L2 platforms like Arbitrum (ARB), Optimism (OP), and Base (by Coinbase). The aim is to facilitate faster and more cost-effective transactions within the Ethereum ecosystem. Shibarium will feature a decentralized exchange (DEX), a metaverse, and blockchain games such as Shiba Eternity.
As per data obtained by Finbold from DefiLlama, a mere 0.15% of SHIB’s market cap is utilized in Decentralized Exchanges (DEX), including ShibSwap (BONE) and Uniswap v3 (UNI). ShibSwap accounts for $8.4 million, and Uniswap v3 for $1.32 million in SHIB. The majority of tokens are held and traded on Centralized Exchanges (CEX) like Binance and Crypto.com, which collectively hold over 20% of Shiba Inu’s market cap. The Shibarium launch might alter this dynamic, leading to a more decentralized distribution of the ecosystem.
SHIB’s Price Analysis Post-Shibarium Launch
Currently, Shiba Inu is trading at $0.0000105, marking a 0.16% increase on the day, according to the latest data as of August 14. Over the last 30 days, SHIB has seen over 30% gains. If Shiba Inu were to reach Dogecoin’s market cap of $10.6 billion, 1 SHIB would be worth $0.000011, indicating a potential upside of approximately 45% over the current price, based on SHIB’s fully diluted market cap of $10.2 billion.
While it’s clear that the Shibarium launch could significantly impact Shiba Inu’s price, the extent of this impact will largely depend on the overall sentiment in the broader crypto market, the increase in demand for the token, and other positive developments in the SHIB ecosystem.
For those interested in tracking these developments and the effect of the Shibarium launch on the Shiba Inu coin, the cryptoview.io application provides a comprehensive and user-friendly platform.
