Recent data reveals a significant shift in the relationship between Shiba Inu (SHIB) and Bitcoin (BTC). Over the last 30 days, the correlation between SHIB and BTC has plummeted to a mere 0.42. This marks a stark departure from the beginning of the week when the correlation stood at a high 0.96. The declining correlation indicates that SHIB is increasingly charting its own path, no longer tethered to Bitcoin’s price movements.
Extended Perspective: 60-Day Correlation
Zooming out to a 60-day timeframe, the correlation between Shiba Inu and Bitcoin was 0.5. This suggests that parallel price movements between the two cryptocurrencies are becoming less likely. SHIB is demonstrating a growing independence from Bitcoin’s influence.
Interestingly, Shiba Inu’s 30-day correlation with Ethereum (ETH) stands at a robust 0.84, further emphasizing its evolving autonomy. Additionally, SHIB’s correlation with its competitor, Dogecoin (DOGE), is at 0.56.
Factors Driving Shiba Inu’s Independence
This shift in correlation is not coincidental. Shiba Inu’s journey towards independence is attributed to significant developments within its ecosystem. In July, SHIB emerged as a top gainer, surging by over 12%. This spike in price was closely tied to a surge in developer activity on the Shiba Inu network. During that period, notable milestones included the introduction of self-sovereign identity (SSI) and progress on the much-anticipated Shibarium project.
However, the fortunes of Shiba Inu took a downturn when Shibarium paused shortly after its launch on August 16. As a result, SHIB has struggled to recover from the losses incurred in August, currently down by 7.13% in September.
What Lies Ahead for Shiba Inu?
In the coming days, the evolving correlation between Shiba Inu and Bitcoin will serve as a critical indicator. It will determine whether SHIB continues to mirror the broader market’s fluctuations or maintains its unique trajectory, influenced by the ongoing developments within its ecosystem.
As of the latest update, Shiba Inu has seen a slight increase of 0.68% in the past 24 hours, with its price reaching $0.0000074. Observers eagerly await further insights into the future direction of this cryptocurrency.