Shiba Inu ($SHIB) Holders Suffer as 85% of Addresses Are in the Red

Blockchain data shows that a substantial majority of Shiba Inu ($SHIB) holders are in a losing position at current price levels, with a staggering near 85% of investors currently being in the red, equivalent to 1.06 million addresses.

According to data from cryptocurrency analytics platform IntoTheBlock, these addresses holding onto the meme-inspired cryptocurrency are currently “out of the money,” while only 11.1% of addresses, meaning roughly 139,600, are in the money, meaning they are sitting on unrealized profit. Around 4% of addresses are breaking even at current prices.

Examining the data further, it becomes clearer that the largest cohort of loss-stricken holders, representing 411,390 addresses, obtained their Shiba Inu stakes at prices oscillating between $0.000008 and $0.000014.

Conversely, the majority of profitable holders, numbering 95,690 addresses, acquired their Shiba Inu assets at a price ranging from $0.000001 to $0.000007. At the time of writing, the meme-inspired cryptocurrency is trading at $0.0000075 per token.

As CryptoGlobe reported, the burn rate of SHIB has recently surged by around 8,900% after a project known as Akai Token ($AKAI) moved 804 million tokens to a dead wallet in a historic burning frenzy.

SHIB has been seeing significant growth over the last few months, to the point that data shows explosive growth of its daily new addresses on the network in the second quarter of the year.

According to IntoTheBlock, the meme-inspired cryptocurrency has seen a strong ending to the second quarter, with daily new addresses reaching over 4,000 on June 27, representing a staggering 357% growth when compared to the increase of 877 daily new addresses recorded on May 21.

Notably, the meme-inspired cryptocurrency has also seen a remarkable flurry of activity as the testnet for its layer-2 scaling solution Shibarium, Puppynet, reached a new transaction milestone of 25 million.

According to data from PuppyScan, a block explorer dedicated to the meme-inspired cryptocurrency’s network, the Shibarium testnet has now processed a total of 25.5 million transactions, with around 270,000 transactions being processed per day.

Shibarium represents a milestone for the Shiba Inu ecosystem, whose token is currently running on the Ethereum network which, despite being a highly safe and decentralized blockchain, has drawbacks when it comes to scalability and transaction throughput.

Featured image via Unsplash.

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