Shibarium Daily Transactions Surge by 64% as SHIB Supply on Exchanges Declines

Shibarium, the layer-2 blockchain of the Shiba Inu ecosystem, has been making waves in the cryptocurrency world with a major UI upgrade aimed at enhancing user experience and expanding network interactions. The redesign is set to make the network faster and more compatible with popular wallets like MetaMask, Coinbase Wallet, and Trust wallet.

Since its launch in August 2023, Shibarium has processed a staggering 417 million transactions, with a significant uptick in activity over the past week. Daily transactions have surged by 64%, reaching a monthly peak of 958k less than 7 days ago.

The increase in transactions has led to a significant deflationary pressure on SHIB, the ecosystem’s primary native token, as each Shibarium transaction results in the burning of SHIB tokens. Despite this, SHIB’s value plummeted by 17% over the week, according to CoinMarketCap.

However, there may be hope on the horizon for SHIB as Bitcoin’s upcoming halving event could potentially boost its fortunes. While there is no historical reference for SHIB during a halving event, other major cryptocurrencies like Ethereum and Dogecoin experienced significant appreciation following previous halvings.

Large holders of SHIB seem to be optimistic about the future, as evidenced by the increase in supply held by top non-exchange addresses and the sharp drop in supply on exchanges. This suggests that holders are accumulating SHIB in anticipation of potential price appreciation.

Overall, Shibarium’s recent surge in daily transactions and SHIB’s supply dynamics indicate a growing interest in the Shiba Inu ecosystem. With the upcoming Bitcoin halving event on the horizon, SHIB holders may have reason to be hopeful for a positive price trajectory in the near future.