While Shiba Coin holds the distinction of being the second-largest meme coin, it recently spearheaded a considerable innovation in its field. Had it not coincided with the bear season, its efforts to establish its ecosystem could have significantly contributed to its value, but it was not meant to be. So, what makes Shiba Coin unique among thousands of meme coins? What do current figures tell us about the Shiba Coin price?
Shiba Coin Comments
The Shiba Inu (SHIB) price has fallen by 15% this month. While other altcoins experienced losses alongside Bitcoin, Shiba investors also turned to selling. However, on-chain data suggests that the situation might not be as dire as it seems.
Shiba Inu’s performance in May was underwhelming due to the rise of emerging memecoins and a 9% contraction in global crypto markets. The first week of the month saw a massive surge in interest in meme coins due to a drop in market value. This resulted in many investors, including the Shiba Coin community, selling off their assets to jump on this bandwagon.
While all this was happening, the Shiba Inu team introduced new products and community campaigns. On-chain data indicates that some of these products have made a significant contribution to network activity. This is an important development for Shiba Coin in the long term.
The graph below shows that the Shiba Inu Network Growth increased from 877 on May 21 to 1180 on May 24.
As seen above, SHIB Network Growth has been on the rise since Monday. Bull stakeholders could attribute this to the newly announced Shiba Inu cold wallet. Looking at social media activity, the excitement for the launch, expected to take place on May 29, may increase even more.
Shiba Coin Price Commentary
According to MVRV data, most investors are currently at a loss. Investors who bought at prices at the $0.0000085 level last month have a 4% unrealized loss. Shiba Inu investors with a net loss position of 4% may be reluctant to sell. If they cease desperate selling in order to keep their losses below 5%, they could unintentionally trigger a recovery in SHIB prices.
Network growth and loss-making investors suggest sales might slow down. If expectations hold, the price may target $0.00001 without encountering significant resistance up to $0.000009. However, in this region, sales from investors who bought an average of $0.000009 price with 3.82 trillion SHIB will pose a challenging resistance.
In the opposite scenario, taking into account the potential continued decline of Bitcoin, the price could drop to $0.000007. Here, the $0.000008 support will be of critical importance, and a potential support test would invalidate the bullish outlook.
