Shiba BONE’s Abundant Bullish Markers Fail to Pass Key Test

Shiba Inu’s BONE shows four bullish on-chain signals, but not without a twist.

Shiba inu full of signs of bears and bones.
Created by Kornelija Poderskytė from DailyCoin
  • Key on-chain metrics paint a bright picture for $BONE, but there’s a catch.
  • Shibarium’s gas fee token Bone ShibaSwap gained 53.8% since last month.
  • Shibarium L2 is set to drop next month during the ETHToronto conference.

Shiba Inu’s alternative token, Bone ShibaSwap (BONE), scooped up significant gains this month as the hype surrounding the Shibarium L2 mainnet launch continues to grow. Previously confirmed to be the official gas and governance token for Shibarium, $BONE briefly made it back to the TOP 100 by global cryptocurrency market capitalization on Sunday.

Key On-Chain Indicators Turn Green

On the technical side, BONE has produced a rare instance of four in a row bullish on-chain signals. This is evident by the blockchain data provided by analytics firm IntoTheBlock, which indicates a steady network growth and a 2.07% hike in ‘In The Money.’

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According to this key-on-chain metric, 79% of BONE holders profit from this price. The favorable bullish setup is complemented by a drop in large transactions and concentration, indicating that Ethereum whales are not selling off their $BONE assets even in the price consolidation phase.

Onchain signals.

One More Barrier to Cross for BONE

After quickly reclaiming a spot inside the TOP 100, BONE faced strong resistance at $1.50, the daily high and seven-day high for Shibarium’s gas fee token.

This has been the third time this month for $BONE to get rejected at the $1.50 key resistance levels, even though the bullish breakout resulted in 53.8% gains in a month, while $BONE added another 10.2% to its market value over the last seven days.

At press time, the #111 ranked altcoin BONE trades at $1.47, according to CoinGecko. The last time Shiba Inu’s alternative token broke through this barrier was in March, but it could not hold the line for more than a week.

On the Flipside

  • Despite the 117.5% yearly gains, $BONE is still 90.66% down from its all-time high of $15.50 two years ago.
  • The gas fee token’s max supply is capped at 250,000,000, even though Shibarium is projected to be used by a billion people.

Why This Matters

Shibarium L2 is slated for launch next month, while both the Shiba Inu community and whales expect an increase in demand.

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This article is for information purposes only and should not be considered trading or investment advice. Nothing herein shall be construed as financial, legal, or tax advice. Trading forex, cryptocurrencies, and CFDs pose a considerable risk of loss.

Author
Tadas Klimasevskis

Tadas Klimaševskis is a Lithuanian journalist at DailyCoin, specializing in covering the lighter side of the crypto industry such as memecoins and pop culture in the metaverse. He has experience as a music artist, English language teacher, and freelance writer, and uses his creative writing skills to summarize valuable information in his work. He is also a strong believer in the potential of blockchain and spends his free time listening to music, traveling, and watching basketball games.