In a surprising turn of events, the Shiba Inu ecosystem has witnessed a notable decline in the prices of its prominent tokens, Shiba Inu (SHIB) and Bone ShibaSwap (BONE). These unexpected price drops have puzzled the crypto community, sparking various speculations about the underlying reasons behind this downward price trajectory.
Shibarium Launch and Token Value Expectations
The decline in SHIB and BONE prices comes hot on the heels of the eagerly awaited launch of the Shibarium mainnet. Many within the crypto realm were anticipating a surge in value for these tokens, especially considering the heightened excitement surrounding the Layer-2 solution network launch.
However, these expectations have been met with disappointment as the prices of both SHIB and BONE have taken a plunge, dampening the excitement surrounding the Shibarium launch. Notably, BONE was introduced initially to serve as the gas fee token for the Shibarium network.
Its role within the ecosystem led many to anticipate a potential increase in the token’s value. Yet, the current market prices indicate that SHIB and BONE have declined in their respective values.
Recent data from CoinGecko, a popular on-chain analytics site, indicate that SHIB is down 11% in the last 24 hours and trades at approximately $0.00000854. It is important to note that SHIB had been on an impressive uptrend, surging by 17.7% over the past 30 days before this sudden dip.
Similarly, the price of BONE has also experienced a substantial drop. Currently valued at $1.28, BONE has plummeted by over 13% over the past 24 hours.
In the last 24 hours alone, BONE’s price has fluctuated between a high of $1.73 and a low of $1.22, further contributing to the unease among investors and enthusiasts.
Factors At Play
Analysts opined that multiple factors are at play regarding the sudden price fluctuation of these assets. According to them, the broader market sentiment within the crypto industry is the primary factor contributing to these price declines.
This is evident as numerous leading cryptocurrencies, including Bitcoin (BTC), Binance Smart Chain (BNB), and Ethereum (ETH), are all currently experiencing losses, per data from Binance, the world’s leading exchange. The experts further said that the “Buy the rumor, Sell the news” phenomenon is another factor causing these downward price trends.
SHIB and BONE had both witnessed a surge in value in anticipation of the Shibarium launch. However, upon the official announcement of the launch, both tokens experienced a decline in value, possibly due to profit-taking by traders.
Moreover, the Shibarium network’s ongoing issues might contribute to these tokens’ price uncertainty. Analysts also argue that the halt in block production and the substantial amount of Ethereum (ETH) trapped on the Shibarium cross-chain bridge, amounting to $1.7 million, could dampen investor confidence.
Mysterious Investor’s Move: Sells SHIB and BONE to purchase PEPE Tokens
Meanwhile, data from Lookonchain, a prominent blockchain activity tracking service, confirm that a mysterious large-volume investor, often called a “whale,” has sold off a significant amount of their SHIB and BONE tokens. Then, they used the proceeds to acquire over 1 trillion PEPE tokens.
Within the global crypto community, this move has raised questions about the investor’s motivation to make such a move. They also wonder about the implications of such a move on the prices of SHIB and BONE.
Data shows that the whale sold 979,469 BONE tokens and transferred 142.98 billion SHIB tokens to a Binance-associated wallet. This wallet, identified as Binance 14, received the SHIB tokens in a single transaction.
Shortly after, the same investor accumulated over 1.06 trillion PEPE tokens in another transaction. Ultimately, investor actions and uncertain factors cause the market’s unpredictability.
Meanwhile, neither the SHIB developers nor any official SHIB social media channels have issued an official statement regarding these developments.
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