Shiba Inu: Shibarium Goes Live as Investors Withdraw 2 Trillion SHIB Tokens

Over the past week, despite the decline in prices, investors have withdrawn a significant amount of 2 trillion Shiba Inu tokens from exchanges. At today’s rate, the value of these tokens is approximately $15.8 million. This withdrawal of tokens from exchanges is considered a positive sign for bullish investors as it reduces selling pressure. The timing of this withdrawal coincides with the relaunch of Shiba Inu’s (SHIB) layer-2 network, Shibarium. The initial launch of Shibarium faced challenges due to excessive traffic, prompting the team to temporarily pause the network.

#ShibaInu | A staggering 2 trillion $SHIB tokens have been pulled from known #crypto exchange wallets just this past week. pic.twitter.com/MiWMNUp7jY
— Ali (@ali_charts) August 27, 2023

Investors may have experienced a shift in sentiment following the announcement of Shibarium’s readiness last week. It is likely that they anticipated a surge in the token’s price once the network became operational again. However, despite the network’s reactivation, SHIB’s prices have continued to decline.

Could Shibarium Relaunch Influence Shiba Inu’s Positive Trend?

In the past 24 hours, the SHIB has dropped by 0.90%, and over the previous week, it has fallen by 1.09%. Even the gas token associated with Shibarium, ShibaSwap Bone (BONE), has experienced a 6.88% decrease in value in the last 24 hours.

Despite recent positive developments, it appears unlikely that SHIB’s price will rebound in the immediate future. The broader cryptocurrency market remains bearish, and SHIB is unlikely to diverge from this trend on its own. Bitcoin, for instance, has dipped below $26,000 and shows no indications of a recovery at present. Given this scenario, it is probable that other altcoins and memecoins will continue to mirror BTC’s movements for the time being.

Looking ahead, Shibarium has the potential to generate increased demand for Shiba Inu (SHIB) in the long run, as numerous projects are developed on the network. As the broader market eventually starts to rally, Shibarium could serve as a catalyst propelling SHIB to reach new heights. This network has the ability to attract attention and drive adoption, potentially leading to a surge in SHIB’s value as more investors recognize its potential.

Olasunkanmi Abudu

Olasunkanmi Abudu is a Web3 content writer with over five years of experience covering blockchain, decentralized finance, and digital assets. He specializes in producing well-researched and accessible content that explains complex technologies and market trends to both general readers and industry professionals.

Disclaimer: The information in this article should not be considered financial advice, and FXCryptoNews articles are intended only to provide educational and general information. Please consult with a financial advisor before making any investment decisions.