Newly revealed data has shown just that Shiba Inu (SHIB) let its long-term holders sell amid what could be a potential downturn. In addition, the movement of these holders has arrived during an important period in the growth of the Shiba Inu ecosystem.
SHIB holders have been aware of sideways movements in the market over the past few weeks. Thereafter, Glasnode notes a decrease in the number of new network participants since the beginning of February 2023.
SHIB Trouble finding a question?
Within the digital asset industry, there are few community bases as passionate as the SHIB military. Growing out of the meme coin craze that no doubt has a place in the market, the utility of the coin and the expansion of the ecosystem took center stage.
Now it appears that long-term Shiba Inu (SHIB) holders are selling amid what could be a potential recession. specifically, BeInCrypto reported on-chain data showing how a “decline in network growth and selling pressure from long-term holders could slow the rebound in SHIB price.”
Analysis captured by Glasnode have shown a declining number of market participants for the meme coin. In addition, they note that the creation of new addresses on the Shiba Inu network decreased from 4,575 on February 4 to just 1,696 on March 21.
It is common for a drop in the number of new addresses on blockchain networks to indicate what could be a declining interest in its services. So, without a change in trend, SHIB will surely struggle to develop higher demand as the new month approaches.
simultaneously, holy reported that the average SHIB coin age in circulation has plummeted, with the declining number of long-term holders confirming a bearish forecast. Currently, the average Shiba Inu coin age has dropped from 44.63 on February 2 to 29.06 on March 22.
This data shows the number of days traded tokens are held at their current address. Subsequently, a decline indicates a selling sentiment for those who are long-term holders of the particular asset.