- Shiba Inu layer-2 scaling solution Shibarium developers recently shared an important update.
- The developer community states that BONE is the only token from Shiba Inu ecosystem that will be used by layer-2 protocol.
- Technical experts have warned the community that Shibarium has been developed for SHIB ecosystem, not for other projects claiming ownership.
Shiba Inu ecosystem’s developers have warned the community against other projects that lay claim to the layer-2 scaling solution Shibarium. Developers assured the SHIB army that the scaling protocol will use Bone (BONE) from the Shiba Inu ecosystem and will scale the dog-themed cryptocurrency, no other projects included.
Also read: Shiba Inu price bleeds despite 13,000% spike in burn rate, here’s what to expect from the Dogecoin killer
Shiba Inu developers warn the SHIB community against false Shibarium narratives
Shiba Inu, the second-largest meme coin in the cryptocurrency ecosystem, will soon benefit from the launch of its scaling protocol Shibarium. This is the layer-2 scaling solution that will utilize BONE from the Shiba Inu ecosystem, and scale the $4.9 billion meme coin project.
Developers have warned the SHIB army to watch out for projects and tokens that claim ownership of the Shibarium protocol and its utility. Technical experts wrote:
Furthermore, and to make it strictly clear: Shibarium has been developed for @Shibtoken and not for the sake of other projects who claim ownership or speculation surrounding its operability dependency on any other tokens.
SHIB ecosystem’s technical experts ask the SHIB Army to stay alert to official information via social media and blog portals.
As the community awaits an update on Shibarium launch and the release date of the layer-2 protocol, the Dogecoin competitor continues to rank among the top cryptocurrencies held by whales.
SHIB is a favorite among 500 largest Ethereum whales
Based on data from Whale Stats, a crypto intelligence tracker, Shiba Inu (SHIB) ranks as the tenth most used smart contract among the 500 largest Ethereum whales.
MOST USED smart contracts for the top 500 biggest #ETH whales today— WhaleStats (tracking crypto whales) (@WhaleStats) January 6, 2023
4️⃣ $COMP @compoundfinance
5️⃣ $NMR @numerai
6️⃣ $CRV @curvefinance
7️⃣ $BOBA @bobanetwork
9️⃣ $CVX @convexfinance
$SHIB @Shibtoken pic.twitter.com/llFyTjHtiN
When large-wallet investors scoop up Shiba Inu tokens or engage in transactions worth $100,000 or more, it helps traders determine the direction of the SHIB price trend. Typically, whale activity has been the key to the direction of Shiba Inu, also known as the Dogecoin killer.
As seen in the chart below, SHIB whale transactions (>$100,000) spiked before a decline in Shiba Inu price. This can be interpreted as profit taking by whales. After scooping up the meme coin at a discount through the dips in the ongoing cycle, large-wallet investors engage in mass profit-taking at SHIB’s local price high, following which the asset’s price declines.
Shiba Inu whale transaction count
Therefore, it is key to observe the trend in Shiba Inu’s whale transaction count to predict the direction of the Dogecoin killer’s price.
Whales from the Ethereum network are scooping up the meme coin and there is an increased likelihood of profit-taking from whales around a local hike in SHIB’s price.
Where is SHIB headed with rising interest from whales?
SHIB is in a long-term downtrend and the meme coin’s 50-day Exponential Moving Average (EMA) is currently acting as support for the asset. The 200-day EMA is acting as resistance at the $0.00000856 level.
Relative Strength Index (RSI), a momentum indicator, is back in the neutral territory signaling that the asset was oversold at $0.00000856. SHIB is likely to plummet to support unless bulls produce a close above the trendline on the 4-hour chart.
SHIB/USD price chart
Key support and resistance for SHIB lie at the $0.00000818 and at the 50-day EMA from the daily chart at $0.00000881 respectively. A close above the trendline could invalidate the bearish thesis and signal the end of the Dogecoin killer’s downtrend.
Shibarium launch could therefore trigger a rally in the meme coin, followed by mass-profit taking by whales that are currently scooping up SHIB token.
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers. The author will not be held responsible for information that is found at the end of links posted on this page.
If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.
FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.
The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.
Follow us on Telegram
Stay updated of all the news
This is how XRP whales and the Ripple community set the altcoin up for a 20% rally
XRP price took the entire crypto market by surprise after the massive spike observed on March 19. The single-day increase was the biggest rise noted by the altcoin since September 2022, which set investors scrambling as they tried to make the most of it.
Optimism Price Forecast: Could the Arbitrum airdrop send OP 12% south as market rival makes headlines?
Optimism price (OP) has been moving horizontally within a fixed supplier congestion zone and could break out soon. The expected trajectory for OP comes amid an alt season with rival Ethereum Layer 2 (L2) token Arbitrum holding its airdrop event.
Here is what you can expect from Arbitrum price after major exchanges list ARB
Binance, Coinbase, Bybit, and Huobi crypto exchanges, among others, have confirmed plans to list Arbitrum ARB token ahead of Thursday's airdrop. After the airdrop, users will be able to trade ARB/BTC and ARB/USDT pairs.
SEC issues alert, states crypto service providers may not be complying with US laws
The crypto market has been in the crosshairs of the Securities and Exchange Commission (SEC) for a while now. The lack of clear regulations and the recent collapse of crypto companies and tokens has increased concerns among investors.
Weekly Recap: Bank runs, stablecoin drama, Voyager bankruptcy hearing, threat to DOX Shiba Inu founder
US bank runs sent shockwaves through market participants, traders turned to Bitcoin and the “safe haven” narrative made a comeback. Binance’s $1 billion acquisition of bankrupt crypto lender Voyager is back on track with a ruling from a New York bankruptcy judge.