Shiba Inu (SHIB) is capturing the investors’ attention amid the effort of the global crypto market trying to recover from the recent crash. The meme coins sector is the top performer, with an increase of approximately 9% in the market cap. The “Dogecoin killer”, as commonly known, has defied the odds of the market downturn,
The post Shiba Inu Price Rise: Can SHIB Lead the Crypto Recovery? appeared first on CoinGape.
Shiba Inu (SHIB) is capturing the investors’ attention amid the effort of the global crypto market trying to recover from the recent crash. The meme coins sector is the top performer, with an increase of approximately 9% in the market cap. The “Dogecoin killer”, as commonly known, has defied the odds of the market downturn, rising in price over the past day. This article explores the factors impacting Shiba Inu price and its price trajectory.
Current Price Action of Shiba Inu Price
Shiba Inu is currently trading at $0.00001784, demonstrating an increase of 6.16 in value, over the past day. The price of SHIB also increased by 1.74% in the past week, although the bearish month recorded a decline of 28.30%. The meme coin also experienced growth in market cap and trading volume reaching $10.48 billion and 334.44 million respectively.
SHIB Burn Mechanism Boosts Market Sentiment
The burn mechanism of the Shiba Inu, which is aimed at decreasing the coin’s supply, has played a crucial role in its recent price fluctuations. Shibburn reported that more than 10 million SHIB tokens were destroyed in the previous day, leading to an extraordinary increase of over 6000%in the burning rate.
This decrease in supply is a positive sign, as it leads to a shortage, which could increase demand and price.
Notably, a single address was responsible for the bulk of this burn, eliminating 8.56 million SHIB through a few transactions.
Market Indicators Show Potential for Gains
Several technical indicators suggest that SHIB might have further room to grow. Coinglass data highlighted an uptrend, with SHIB’s Futures Open Interest rising by 5.21% to $35.04 million and derivatives volume increasing by 0.66% to $143.10 million. This points to heightened investor interest and potential for continued price gains.
The Relative Strength Index (RSI) for SHIB is currently at approximately 27, signaling that the cryptocurrency is in a state of being oversold. This frequently indicates a chance to buy, as when conditions are oversold, prices can go up. Investors may view this as a chance to enter, potentially causing an increase in price.
The MACD, which is a tool that follows trends and measures momentum, is indicating the possibility of a bullish crossover. Should the MACD line cross over the signal line, it may validate a buy signal, indicating SHIB’s price could increase soon.
The analysis by the EMA shows a combination of positive and negative aspects. The current price is above the short-term EMAs, suggesting a bullish trend. Yet, should SHIB manage to maintain its current price levels, it could indicate a change in direction. The 200-day EMA is very important, as surpassing it could verify a prolonged uptrend.
SHIB encounters primary resistance levels at $0.00001968 (200-day EMA) followed by $0.00002512. Levels of support can be seen at $0.00002083 and $0.00001627. Achieving a breakthrough in the resistance may result in substantial profits, whereas maintaining the support levels could help the coin stay steady amid market instability.
Whale Movements and Market Dynamics
Recent whale activity has added an intriguing layer to SHIB’s market dynamics. Two major whales moved substantial amounts of SHIB and PEPE to Binance, totaling $25.95 million. One whale, holding 1.088 trillion SHIB, made a strategic exit with an $8 million profit, reflecting a 79% gain. This move indicates calculated selling rather than panic, suggesting confidence in SHIB’s price stability.
Conclusion: A Bright Future for Shiba Inu Price?
As of now, Shiba Inu price stands at $0.0000175, with a recent 1.67% increase and a 116.76% rise in trading volume. The increase in Open Interest further demonstrates growing market confidence. While SHIB’s price movements are influenced by broader market conditions, its unique burn mechanism, favorable technical indicators, and strategic whale activities paint a promising picture. Investors should watch key resistance and support levels closely, as well as potential buy signals from the RSI and MACD.
Shiba Inu continues to defy market trends, fueled by strategic burns and investor optimism. While volatility remains a constant companion in the crypto world, SHIB’s resilience and strategic initiatives may well position it for significant future gains
The post Shiba Inu Price Rise: Can SHIB Lead the Crypto Recovery? appeared first on CoinGape.
