Bitcoin‘s price has surged past the $70,000 mark, significantly impacting the altcoin market. Shiba Inu (SHIB) is one of the notable beneficiaries, experiencing a noteworthy price hike above the average. The general upward trend in altcoins has allowed Shiba Coin to stand out due to specific factors in its ecosystem.
What Drives Shiba and Shibarium?
Shibarium, an ambitious blockchain project launched last year, has shown mixed results compared to its testnet performance. However, recent data from Shibariumscan reveals a 50% increase in new transactions, rising from 5,150 to 7,691. This uptick in network activity has triggered short-term price movements for Shiba Coin.
The number of Shibarium users has also grown significantly, from 105,367 on May 1 to 113,732 by May 27, suggesting a resurgence in network interest. One of the major developments in May was the integration of ShibaSwap into Shibarium, which Shiba Inu developer Kaal Dhairya highlighted as a key milestone. He emphasized that the project is a marathon, not a race, and promised regular updates and upgrades.
What Is Shiba Coin’s Price Outlook?
Shiba Coin, the second-largest meme cryptocurrency, has continued its upward trend with a 6% increase. The current Volatility Contraction Pattern (VCP) hints at a potential breakout. This technical formation, characterized by narrowing price fluctuations, is a strong indicator of an impending price surge.
The SHIB price is currently testing the $0.00002631 neckline. A successful breakout could see the price rise by 32%, targeting the resistance area at $0.00003282. However, failure to break out could result in a retreat to the $0.0000234 support level, with a further risk of falling to $0.00002052 if this support is also lost.
Key Takeaways for Investors
- Bitcoin’s surge to $70,000 is positively influencing altcoins like SHIB.
- Shibarium’s increased network activity and user growth indicate rising interest.
- The integration of ShibaSwap into Shibarium is a significant development.
- SHIB is exhibiting signs of a potential breakout based on technical patterns.
- Investors should watch for price movements around the critical $0.00002631 neckline.
The total volume of cryptocurrencies has soared to $77 billion, marking a 41% increase. Bitcoin’s dominance has dropped to 53%, while Ethereum’s dominance has climbed above 18%, favoring altcoins.