More data

While technical indicators point to sideways movement, on-chain indicators paint a more optimistic picture.

According to AMBCrypto’s analysis of Santiment data, SHIB has seen a significant surge in network growth. This indicates that new addresses are showing interest in SHIB.

The surge in interest in new addresses could play a key role in the bullish momentum in SHIB’s price.

SHIB velocity, on the other hand, remains stagnant, suggesting that the overall frequency of SHIB transactions remains stagnant.

Some challenges ahead

Coupled with the reduced speed, poor performance of the Shiba Inu ecosystem will also have a negative impact on SHIB.

Read Shiba Inu’s [SHIB] 2024-25 Price Prediction

Shibarium, a layer 2 network on the Shiba Inu network, has seen a significant drop in transaction volume over the last week.

While SHIB may see short-term positive price movements, declining interest in its ecosystem could harm its long-term prospects.