Key Shiba Inu Metric Plummets to Lowest Point in Three Months: What Will Be the Impact on SHIB's Value?

A recent decline in daily transactions processed on the Shiba Inu’s layer-2 blockchain solution, Shibarium, has sparked concerns over the cryptocurrency's future price. The decrease, which reached its lowest point in three months on June 1, indicates reduced network activity and user engagement.

This has been exacerbated by a decrease in the number of active accounts and new contracts. Despite these concerns, some industry participants still express optimism for the coin's future, citing a negative exchange netflow and a low Relative Strength Index (RSI) as potential signs of recovery.

Furthermore, the project’s burning mechanism, which aims to increase the coin's value through scarcity, has seen a decrease in token burning rates, sparking additional worry about the cryptocurrency's valuation.