Shiba Inu price continued its downward trend and neared a crucial support level even after Shibarium crossed a major milestone.
Shiba Inu (SHIB), the second-biggest meme coin, dropped to $0.00001215, its lowest level since March 14, and 23% below its highest swing this year.
The decline happened after Shibarium, its layer-2 network, crossed the 1 billion milestone in terms of transactions. This is notable since the network had 948 million transactions on the same day last month.
Shibarium is also nearing another milestone in terms of total addresses. It currently has 194.59 million, suggesting it may cross the 200 million mark later this month or in May. Additionally, the cumulative gas used on Shibarium has climbed to 38 trillion BONE and is on track to reach 40 trillion.
In a post on X, Shibarium Updates said the network was moving from an era of experimentation to a “gold age” of maturity, infrastructure, and real-world value. He described the evolution as a shift “from green to gold” and “from memes to meaning.”
Therefore, the new ‘gold era’ of Shibarium could lead to faster ecosystem growth. DeFi Llama data shows that the network has a total value locked of over $2.17 million, making it smaller than some newer chains like Base and Berachain.
Shibarium’s success will be a good thing for Shiba Inu because some of the BONE fees in the network are converted into SHIB and then incinerated.
Shiba Inu price technical analysis
The daily chart shows that SHIB has been in a sustained downtrend over the past few months, falling from a high of $0.00003340 in November to $0.00001088.
It recently rebounded to a high of $0.00001570 and is now approaching support at $0.00001080, a level that suggests the formation of a double-bottom pattern, a popular bullish reversal signal.
This pattern is forming after Shiba Inu formed a falling wedge pattern, which is made up of two descending and converging trendlines. A bullish breakout typically forms when these two lines are nearing their confluence.
Therefore, the coin will likely bounce back once the ongoing crypto market crash because of Trump’s tariffs end. More gains will be confirmed if SHIB breaks above the neckline at $0.00001570. If that happens, it could rally toward the 50% Fibonacci retracement level at $0.000020, a move that would represent a 60% gain from current levels.
