SHIB gained 7% in number of holders after reaching 1,000,000 holders previously
Despite questionable performance on the cryptocurrency market, the Shiba Inu network is continuously growing by welcoming more than 70,000 newcomers after reaching the one million mark a little over a month ago.
The current number of holders is an important fundamental milestone for the token which has been going through a difficult time recently after losing almost 70% of its previously earned value.
A growing number of users as a fundamental factor
The increasing number of users may not have an immediate effect on a coin or a token in terms of market price, but from the fundamental growth standpoint, a number of holders are a key determinant of the asset’s future.
With projects like Ethereum and Solana receiving an increase in the number of holders on the network, all future projects based on its blockchain are more likely to receive monetary support from the community.
SHIB’s market performance
The token is continuing its way down, now losing more than 60% of its value from the previous growth on the market. While the rapid retrace that began at the end of October was accelerating from the start, the daily volatility of the asset on the market has decreased significantly.
Unfortunately for SHIB investors, the token does not offer a use case that would act as a consistent source of fuel for the asset’s price. The only purchasing power followed in the market came from large speculative purchases of whale-level wallets which currently hold $ 1.5 billion in tokens.
The large popularity of the token among investors is explained by the rapid price increase that took place at the beginning of October and resulted in more than 1,000% growth in less than a month.
At time of printing, the asset is trading at $ 0.000031 and is losing 0.3% of its value. The daily volatility of the asset is currently around 0.5%.
