What’s behind SHIB, BONE’s price pump?

• BONE and SHIB were up by 15% and 1.7% over the last week, respectively. 
• The metrics and market indicators of both tokens remained mostly bullish. 

One of the most popular tokens of the Shiba Inu [SHIB] ecosystem, Bone ShibaSwap [BONE], registered a double-digit rally last week. Not only BONE, but the chart of the network’s flagship token, SHIB, also remained green.

A possible reason behind this uptrend might be found in Shibarium’s performance.

The Shiba Inu ecosystem is turning bullish 

CoinMarketCap’s data revealed that BONE was up by more than 15% over the last seven days. At the time of writing, it was trading at $0.7092 with a market capitalization of over $163 million.

While BONE’s price rallied, SHIB’s price also gained upward momentum. At press time, SHIB was up by 1.7% in the last 24 hours and was trading at $0.000008533 with a market cap of over $5 billion.

AMBCrypto looked at Santiment’s data and found that BONE’s popularity in the crypto market rose over the last week, as evident from its consistently high Social Volume.

However, the same can’t be said for Shiba Inu, as after a spike on the 29th of November, its Social Volume dropped as of press time.

Source: Santiment

A possible reason behind both of these tokens’ price uptrends could be attributed to Shibarium’s latest achievement.

LUCIE, an official X (formerly known as Twitter) handle of Shiba Inu, recently revealed that Shibarium’s daily transactions hit a new high of 5.1 million.

#Shibarium transactions hitting new highs at 5.1M DT🚀

Increased traffic, soaring gas prices, and more burn – the momentum is coming slowly but surely 🔥 $BONE X $SHIB pic.twitter.com/dNjc9ObO1j

— 𝐋𝐔𝐂𝐈𝐄 | ✨Shib.io✨ (@LucieSHIB) December 2, 2023

Things improved further, as at press time, Shibarium’s daily transactions reached 7.4 million. As per Shibariumsacn.io, the L2 has processed a total of more than 19 million transactions and 1.9 million blocks.

Its total number of wallet addresses also reached 1.27 million.

Source: Shibariumscan.io

Will the uptrend last?

AMBCrypto checked Shiba Inu’s metrics to find whether it could sustain its rally. As per CryptoQuant’s data, SHIB’s exchange reserve was decreasing, suggesting that buying pressure was high.

The token’s Funding Rate increased along with its price. This meant that derivatives investors were buying SHIB at a higher price. Additionally, its Open Interest also increased as per Coinglass — yet another optimistic metric.

Source: Coinglass

Read Shiba Inu’s [SHIB] Price Prediction 2023-24

Mentioning BONE, its MACD displayed a clear bullish advantage in the market. The token’s Money Flow Index (MFI) also rested well above the neutral mark, which showed increased chances of a continued uptrend. 

However, nothing can be said with certainty as BONE’s price touched the upper limit of the Bollinger Bands. This could increase selling pressure and, in turn, put an end to BONE’s bull rally.

Source: TradingView