Adoption of the meme-inspired cryptocurrency Shiba Inu ($SHIB) is seemingly still growing, even as the price of the cryptocurrency keeps on dropping along with the rest of the cryptocurrency market.
According to a report from cryptocurrency security firm CertiK, there are now 1.05 million Ethereum addresses with SHIB in their balance as the cryptocurrency consistently kept adding between 30,000 and 40,000 new users on a daily basis.
The report notes that the top 10 holders hold around 64% of SHIB’s circulating supply, which means whales control a very significant portion of the meme-inspired cryptocurrency. Whale holdings are a concern to some investors as if they decide to start selling their holdings en masse prices could crash.
As CryptoGlobe reported, crypto analytics firm Santiment noted last month that SHIB whales have been influencing the cryptocurrency’s price, as when whale transactions above $100,000 occur, prices rise.
It’s worth noting the one million figure only reflects wallets on the Ethereum blockchain and not individual holders. One SHIB holder can, for example, hold dozens of wallets, while another wallet can have the funds of thousands of holders if they custody their funds on an exchange, for example.
Exactly how many people hold $SHIB isn’t known, although some believe that there may be more users on cryptocurrency exchanges than on the blockchain. Top trading platforms like Binance, Coinbase, Huobi, FTX, and Gemini have all listed the meme-inspired cryptocurrency over time.
Shiba Inu’s price hit an all-time high of $0.0000885 earlier this year after its price exploded over a retail trading frenzy. It has since plunged to at press time trade at $0.00004242.
Some analysts have warned investors that even though SHIB’s price is extremely low, the cryptocurrency has a market cap of over $23.3 billion and as such its upside may be limited, with cryptocurrencies like Binance Coin (BNB) – the third-largest by market cap – sitting at $99 billion.
As reported, digital asset-focused research firm Delphi Digital has revealed that historically dog coins, meaning cryptocurrencies inspired by the popular Shiba Inu meme, have historically been “a pretty good indication of an overheated market.”
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