Shiba Inu Up 43%, Here’s Why SHIB is Rising According to On-Chain Data

Shiba Inu has surged over 43% in the past nine days, with a boost in on-chain activities fueling bullish sentiments.

In TheCryptoBasic Shiba Inu News Today, The Shiba Inu price has surged extensively in the past week, leading to a wider market bullish run. For context, SHIB has reached a 10-week high of $0.000019, pulling off a 21% increase in the past 24 hours.

Also, Shiba Inu has outperformed major meme coins in the past 24 hours and the last seven days. For instance, SHIB has surged 31.2% in the past week, while Dogwifhat, the second-best performer in the top 10 meme coins by market cap, surged 27.4%.

This analysis suggests that Shiba Inu has performed exceptionally compared to meme coins and altcoins. Notably, SHIB’s surging price is not the only parameter experiencing the bullish traction obvious in the Shiba Inu ecosystem; on-chain activities have also seen substantial upticks.

On-chain Activities Spike

SHIB’s bullish pull may have been facilitated by surging on-chain activities in the Shiba Inu ecosystem. According to Santiment data, Shiba Inu is up 43% in nine days. For context, trading volume, amount of SHIB circulation, and whale activities spiked on Sept. 26, fueling the price uptick.

Per Santiment, SHIB trading volume surged to 1.19 billion SHIB on Thursday as traders looked to leverage the growing price and traction on the meme coin. Notably, trading volume for the dog-themed token last reached that height in July.

😺📈 Shiba Inu has surged +43% in the past 9 days with on-chain activity notably surging compared to altcoin alternatives and other meme coins. In addition to volume, circulation, and whale transactions spiking to 10-week highs, social dominance is up as well. This indicates that… pic.twitter.com/w13pdr4r7K

— Santiment (@santimentfeed) September 26, 2024

Furthermore, SHIB whale activities also spiked to an over two-month high. On Thursday, about 27 transactions exceeding $1 million were made on the network. These showed a reawakening of Shiba Inu whales amidst surging prices.

Notably, the amount of unique SHIB transferred in the Shiba Inu ecosystem also spiked extensively. About 5.7 trillion SHIB were in circulation yesterday, signaling increased network activities.

It bears mentioning that these increased tractions were products of surging bullish sentiments around the Shiba Inu ecosystem. Notable activities like the integration of liquid staking to the Shibarium network and an uptick in the SHIB burn rate have contributed to the recent bullish outburst.

According to a recent report by The Crypto Basic, Shiba Inu has added $3.3 billion to its market cap in just one day.

Analysis Calls for Caution

The Santiment analysis points to a probable local top amidst surging on-chain activities. It noted that the substantial price uptick may lead to the fear of missing out (FOMO) sentiment among investors.

Notably, such sentiments lead to short-term price corrections as the market looks to shake off greedy traders—the analysis called for a wait for the highly bullish narrative to cool slightly.

Meanwhile, Santiment noted that the next SHIB push will be for the $0.000043 price level, which was last seen in February. This analysis aligns with an earlier report showing that a sustained bullish run will take SHIB to the Fibonacci level at $0.000035.

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