Crypto

SHIB Leads Crypto Markets, Climbing Over 15% Overnight Cryptocurrency

The price of shiba inus (SHIB) peaked today, currently up 15.2% in the past 24 hours and 31.2% in the past seven days, per CoinGecko.

SHIB is currently ranked 13th among digital assets by market capitalization, but its price of $0.000012 is having one of the best days among the top 100 cryptocurrencies. The piece of money also shows an almost 200% increase in 24-hour trading volume, with Binance and Coinbase hosting the majority of these professions.

As has often been the case in previous market cycles, altcoins are seeing strong rises back to back with market leaders such as Bitcoin and Ethereum, possibly due to traders reinvesting profits from large-cap assets into smaller assets.

The amount of SHIB tokens transferred to exchanges saw a massive spike on January 10, when over 14 trillion tokens were deposited on exchanges, according to to CryptoQuant data. Compared to today’s price rise, this suggests that the holdings could be used to open derivative positions rather than being sold in the spot market.

Foreign exchange inflows for SHIB peaked on January 10, 2023. Source: CryptoQuant.

However, if the current SHIB price action is rooted in the derivatives market, it could see increased volatility if long positions begin to liquidate.

Is SHIB more than a meme?

Earlier this week, the team behind Shiba Inu announcement that it is building its own Layer 2 network, called Shibarium, to operate on top Ethereum.

The team recognized in its blog post presenting the project that “some see Shibarium as a price pumping tool, but that is not the goal of the project and never has been.”

Instead, the team claims its new Layer 2 network will minimize costs and increase transaction speeds for tokens in its ecosystem.

Disclaimer

The views and opinions expressed by the author are for informational purposes only and do not constitute financial, investment or other advice.

Stay up to date with crypto news, get daily updates in your inbox.

#SHIB #Leads #Crypto #Markets #Climbing #Overnight #Cryptocurrency #Crypto

Related Articles

Back to top button