Why SHIB’s Price Could Dive Deeper Soon
The price of Shiba Inu (SHIB) had a little party last week, hitting $0.00001407 on September 14. But the party didn't last long, and now SHIB’s value has dipped back to $0.0000133.
This drop isn’t just a random hiccup; it's tied to some not-so-great on-chain metrics. According to IntoTheBlock, the Net Network Growth—a fancy way of saying “how much the SHIB network is truly growing”—has dipped by 0.19% daily.
And that's not all. The big-money transactions (those over $100,000) have taken a nosedive to $5.3 million, a whopping 76% drop in just one day.
Let’s talk about the Shiba Inu burning mechanism. In the last 24 hours, the burn rate has plummeted by 96%, meaning only 227,000 tokens were sent to a black hole address. The goal of this burn program is to cut down the massive supply of SHIB, making it rarer and hopefully more valuable (unless the demand also takes a nosedive). So far, over 410 trillion tokens have been torched, leaving around 583 trillion still floating around.
The folks behind Shibarium, Shiba Inu’s layer-2 scaling solution, have also jumped on the burn bandwagon with their “Burn Portal.” This one’s a bit different; it uses BONE, the ecosystem’s governance token, for gas fees. Part of those fees is used to buy SHIB tokens, which are then sent to the great crypto void. But you can only start a burn if you have more than 100 BONE.
With SHIB’s recent performance, investors aren’t exactly popping champagne. Data from IntoTheBlock shows that 45% of SHIB holders are still in the green, but a tough 52% are underwater. Compare that to March this year during a bull run, when a comfy 63% of SHIB investors were making gains.
On the flip side, Dogecoin (DOGE) investors are having a better time, with 72% in profit and only 25% facing losses. Even Pepe (PEPE) investors are faring better, with 49% “in the money” and 40% feeling some pain.
So, if you’re holding SHIB, brace yourself; the ride might get a bit bumpier before it smooths out!
