Shibarium's Slumping Activity Weighs on Shiba Inu's Price Outlook
Shiba Inu's price has been stagnant, hovering below its 2021 record highs. Despite a recent 11.81% gain, the token remains 93.5% below its all-time high of $0.00008616 on October 27, 2021. The current market capitalization stands at $3.295 billion, placing Shiba Inu in 37th position across the cryptocurrency market.
Shibarium, the project's layer-2 blockchain, has been a key focus for investors. However, recent network data has raised concerns, with Shibarium handling only 1,680 daily transactions, a sharp decline from the 4.69 million transactions reported in August 2025. This drop represents a 99.96% decrease in activity.
The decline in network participation has significant implications for the token's price. A network with low activity generates fewer fees, which in turn means less support for token-burning mechanisms. Developers have addressed a chain reorganization issue, but the migration to a new RPC service remains incomplete.
Until network participation recovers, market confidence may remain limited. If transaction volumes increase, it could lead to improved market confidence and a potential price breakout.