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Shibarium, the layer-2 blockchain of the Shiba Inu (SHIB) ecosystem, has suffered a significant drop in transaction count. This comes after more than one week of consistently recording over four million daily transactions on the mainnet.
Is SHIB price volatility impacting Shibarium activity?
According to Shibariumscan data, the layer-2 blockchain saw a 22% crash in daily transaction count. Notably, the transactions dropped from 4.69 million on Aug. 17 to 3.65 million on Aug. 18. The dramatic plunge in volume signals a pullback in user engagement on Shibarium.
Although the daily transaction count dipped to 3.65 million, it remains strong for Shibarium, given the current market conditions of most assets. The decline might have been triggered by bearish sentiment from Shiba Inu users.
Given that Shibarium’s activity is closely linked to SHIB’s price and community engagement, the recent volatility might have impacted the blockchain. As of press time, Shiba Inu is trading down by 0.22% at $0.00001260.
This has affected investor confidence, with trading volume down by a significant 9.97% at $181.22 million in the last 24 hours.
Despite the sudden drop, Shibarium has added approximately 4,000,000 new transactions in just about seven days after hitting the 1.5 billion milestone. The current total transaction count stands at 1,541,245,820.
Meanwhile, total blocks on Shibarium have now reached 12,621,623 at an average block time of 5.0 seconds.
Shibarium surpasses key ecosystem milestones
Interestingly, Shibarium has flipped all the major milestones predicted by U.Today based on its potential in July.
As reported, there were projections that the L2 could hit 1.4 billion transactions, 268 million addresses and 12 million total block count, all before Q3 ends. Shibarium has achieved and surpassed all three metrics.
In the broader Shiba Inu ecosystem, despite slow growth in price action, SHIB has also hit a total of 16,020,666 transactions on the network. It indicates that the network remains active for wallet transfers by users.
Dan Burgin
Vladislav Sopov
U.Today Editorial Team