The number of transactions on Shibarium, the layer 2 network of the Shiba Inu ecosystem, has increased significantly in the last four days. According to Shibariumscan data, daily transactions increased from 1,300 on June 10 to 2,600 on June 13. Thus, the daily transaction volume on the network increased by 100% in four days.
The latest rise followed the previous fluctuating pattern
This increase appears not to be entirely unexpected. There have been similar jumps in Shibarium since the end of May, but it was noted that these increases were not permanent. Activity on the network showed sharp declines again after short-term increases.
During one period in late May, the number of transactions was as high as 7,220, followed by a rapid decline. The same trend was repeated four more times between the end of May and the beginning of June. On June 8, transactions rose to 3,990, then dropped to 1,300.
Mini dictionary: Shibarium is a layer 2 blockchain network developed for the Shiba Inu ecosystem. These types of networks are used to relieve the load on the main chain and conduct transactions faster or at a lower cost.
Although the last 100% increase in Shibarium attracted attention, one of the main headlines watched in the market was whether the rise and fall cycle seen in the previous weeks would occur again.
Printing on the market further complicates the picture
The exact reason for this fluctuation in the number of transactions is not clear. However, the outlook is in line with the uncertainty in the general cryptocurrency market. The fact that recent price recoveries have been met with sales, followed by sharp declines, provides a similar framework to the activity in Shibarium.
The cryptocurrency market entered June under strong pressure. Most digital assets have fallen to their lowest levels in recent months, and some to longer-term lows. On the social media side, an atmosphere in which negative expectations predominated was created.
Fear gauge remains low
According to CoinMarketCap data, the Crypto Fear and Greed Index is at 21 and remains in the fear zone. This chart is attributed to investors’ reaction to months of poor performance in major crypto assets.
It is reported that on-chain data, social indicators and derivative market signals are approaching some critical thresholds. Although these indicators alone do not guarantee a change in direction, they are among the factors that indicate that the market may be approaching an important turning point.
Limited pullback seen in SHIB price
It is stated that for a permanent recovery, stronger demand and signs that large buyers are re-engaged are needed. In addition, a significant weakening of the selling pressure side is among the topics to be closely monitored.
At the time of writing, the Shiba Inu price dropped by 1.96% in the last 24 hours to $0.00000489. On the other hand, SHIB managed to stay up by approximately 4.43% on a weekly basis.
