This week isn’t starting on a high note for Shiba Inu (SHIB) as key metrics are taking a hit. Following the broader market trend, Shiba Inu has seen a 6.4% drop, bringing its price to $0.000009639. This downturn, influenced by the market’s bearish turn led by Bitcoin, reverses the progress made in erasing one zero from SHIB’s value last week.
Amidst this downturn, there are three critical growth indicators for Shiba Inu to consider. First, the current sell-off might push SHIB’s on-chain metrics into the oversold territory, signaling a potential price recovery.
Secondly, the price itself is approaching oversold levels, with the Relative Strength Index (RSI) sitting at 41.81, edging into the low neutral range. Should it dip below 30, investors might seize the opportunity to buy back SHIB, taking advantage of the discounted price.
The burn rate, a key measure of token deflation, has decreased by over 86%, with a smaller number of SHIB tokens burned in the last 24 hours. However, expectations are for increased burning activity in the upcoming days, potentially fostering a more deflationary sentiment and stimulating buying interest.
Market downturns are usually transient, and with over $145 million liquidated in the past day, a positive turn could soon impact SHIB’s performance.
Shibarium, the layer-2 scaling solution built on Ethereum, has seen significant transaction volume growth. Approaching nearly 81.5 million transactions, stability in these milestones without network interruptions may encourage users to commit more resources, potentially uplifting SHIB’s overall outlook as the week progresses.
