Shiba Inu Poised For Double-Digit Gains After Shibarium Hits Keystone

• Shiba Inu Layer 2 Shibarium records a three-month high in the number of contracts implemented on its chain.
• Shibarium is an Ethereum scaling solution that has seen an increase in developer activity on the Shiba Inu network.
• SHIB could extend gains by nearly 14%, target high for August 26 of $0.00001525.

The Shiba Inu (SHIB) ecosystem’s Layer 2 chain has reached a major milestone as it has seen the highest number of contracts implemented in three months. A member of the Shiba Inu team behind the X handle @LucieSHIB shared Shibarium’s milestone in a recent tweet.

SHIB’s on-chain values ​​make a bullish case for the meme coin.

Shibarium hits three-month high in contracts implemented on the chain

Shibarium, an Ethereum scaling solution in the Shiba Inu ecosystem, has reached a three-month high in the number of contracts implemented on the platform. Less than two weeks ago, Shiba Inu launched a developer toolkit to invite projects to build on Shibarium. Data from Shibariumscan shows that 34 contracts were implemented on September 5, which is slightly lower than July’s 36.

The number of implemented contracts indicates the projects running on Shibarium, signaling the growing confidence of developers and users.

Implemented new Shibarium contracts

Chief Marketing Officer Shiba Inu tweeted about the development:

Shiba Inu values ​​in the chain become optimistic

Shiba Inu stocks on the chain are showing signs of gains in the meme coin. The 30-day market-to-realized value (MVRV) is -2.067%. This value checks whether an asset is undervalued or overvalued in a given time frame. MVRV for Shiba Inu shows that the meme currency is undervalued.

Shiba Inu MVRV (30 days)

SHIB traders have consistently posted losses over the past 30 days. Net Realized Profit/Loss, which measures the net profit/loss of all assets sold on a given day, shows consistent negative peaks since July 2024. Negative peaks represent losses realized by SHIB holders, and typically consistent loss realization is followed by surrender.

Capitulation refers to a situation where market participants lose hope and liquidate their long positions in an asset, realizing large losses in volume. This is followed by a recovery in the asset price.

Shiba Inu NPL

SHIB is targeting 14% gains.

Shiba Inu has been in a downtrend for several months, which started in March 2024. Since then, the SHIB price dropped to a low of $0.00001078 on August 5th, before rebounding to 0.00001336 USD at the time of writing.

The dog-themed meme coin is likely to extend its gains, and momentum indicators support the bullish thesis. The Moving Average Convergence Divergence (MACD) shows green histogram bars above the neutral line, signaling an underlying positive momentum in the SHIB price trend.

The Relative Strength Index (RSI) is reading 45 at the time of writing, just below the neutral level of 50.

Shiba Inu could extend gains by 13.5% and reach the target of $0.00001525, a key level for the meme currency and the August 26 high.

SHIB/USDT Daily Chart

In the event of a correction, Shiba Inu could find support at the August 5 low of $0.00001078.