0
0
Shibarium Network Facing Decrease in Daily Transactions
Shibarium, a Layer 2 network developed by Shiba Inu on the Ethereum platform, has encountered a significant decline in its day-to-day transaction volume, plummeting by 99%. The period between the end of 2023 and the beginning of 2024 saw a surge in the network’s adoption, resulting in a peak of 7 million daily transactions in December. However, as of 2024, this number dropped to a mere one million transactions per day.
March 2024: Network Transactions hit an All-Time Low
The network witnessed a pronounced downtrend starting on the 10th of March, with daily transactions hitting a rock-bottom of 800,000. The situation slightly improved on the 16th of March, when the transaction volume rose to just over one million. This decline could be attributed to the recent crash in Bitcoin prices, which tumbled from $73,000 to $61,000, impacting altcoins like Shiba Inu as well. As a result, investors have adopted a cautious approach, opting to observe the market before making any significant moves.
If a rebound were to occur, it could potentially boost the network’s adoption as a Layer 2 solution. However, with competing platforms such as Solana and Ethereum in the mix, Shibarium is likely to face formidable challenges in terms of attracting active users. The current negative trend is anticipated to persist until the end of March, reminiscent of a similar situation witnessed back in November 2023.
Despite the prevailing circumstances, investors remain optimistic, hoping for a turnaround in the near future. While uncertainties loom, many are hopeful that the network will experience a substantial improvement in the coming days.
Image/Photo credit: source url
