Shiba Inu new adoption rate plummets to two-year low: What happened?

front page
Cryptocurrency News
market
Shiba Inu Coin New User Adoption Rate Collapses to Two-Year Low: What Happened?
Shiba Inu Coin New User Adoption Rate Collapses to Two-Year Low: What Happened?
February 18, 2025


Shiba Inu Coin

Recent analysis shows that new user adoption of Shibacoin has fallen as its price has fallen, reaching a multi-year low on Monday.
Shibacoin’s woes extend beyond poor price performance; the well-known meme coin’s new user adoption rate has also fallen below its annual threshold. The latest pullback comes despite recent bullish developments brought about by the ecosystem’s collaboration with the UAE government.
Data from IntoTheBlock shows disappointing adoption of new addresses in the ShibaInuCoin ecosystem. The indicator fell sharply to a multi-year low of 12.73% on Monday, further sparking concerns among enthusiasts.
Decreased new user adoption
To provide context, the New User Adoption Rate metric tracks the percentage of transactions initiated by new addresses on the base network. This metric shows the percentage of new wallets contributing to the blockchain’s daily activity.

Shiba Inu Coin New User Adoption Rate | IntoTheBlock
Therefore, the recent decline indicates a lack of interest from new users in interacting with the ecosystem. Notably, data from IntoTheBlock highlights that since January 2025, this metric has fluctuated between 27% and 48%, with the average for this year being around 33% until yesterday’s sharp drop.
Additionally, the Shiba Inu Coin ecosystem has not seen such a low new user adoption rate in nearly two years. The last time the ratio fell this low was in March 2023, when it plunged to 5.20%, the data showed.
Correlation between new user adoption and price
Meanwhile, historical analysis shows a loose correlation between Shiba Inu Coin price and new user adoption metrics. However, in many cases, adoption pullbacks almost always lead to corresponding price declines.
From this perspective, Shiba Inu Coin’s surge to its all-time high of $0.00008853 in October 2021 was accompanied by an increase in new addresses interacting with its ecosystem. The indicator began its slow rise in July 2021, reaching a peak of 58.26% one month after the price peaked.
Still, there are cases where new user adoption has increased while prices have remained the same, or vice versa. These mixed reactions suggest that prices may or may not trend lower following yesterday’s sharp decline.
Surge in deal volume sparks mixed sentiment
Meanwhile, events in the ShibaCoin ecosystem have taken a paradoxical turn, with a rare surge in the number of daily transactions. To provide context, the metric has remained stable below 12,000 transactions since early December and above 8,000 since early February.
However, the number of transactions processed on-chain surged by 1,72% from a seven-day low of 5,250 on February 16 to 14,250 yesterday. This surge correlates with a decline in new user adoption, further fueling mixed sentiments about the ecosystem.

Shiba Inu Coin Transaction Volume | IntoTheBlock
Despite this, Shiba Inucoin has continued its slide today and is heading towards a fourth consecutive day of daily correction. At the time of writing, SHIB is trading at $0.00001531, down 3% in the past 24 hours.

Label
Latest Shiba Inu Coin (SHIB) News Today