Bullish sentiment around Shiba Inu (SHIB) is on rise that will be decisive point for asset in foreseeable future
Regarding Shiba Inu (SHIB), bulls appear to be overtaking bears as the market leader. Based on the information provided IntoTheBlock, a conclusion can be drawn.
These numbers show that big investors bought 200 billion more SHIB tokens during the previous week than they sold. This group of cryptocurrency market participants contributed 14.7 trillion Shiba Inus every week.
However, as of right now, bears outnumber bulls in addresses: 128 to 126. However, if you examine the dynamics, you can see more buyers now than last week, when there was a 10-address discrepancy. As a reminder, the IntoTheBlock algorithm only considers addresses that account for at least 1% of the total trading volume of the coin.
Major players’ attitudes changed at the same time as the SHIB price fell more than 10% in the previous seven days, the greatest intraweek decline since late February. When examining the Shiba Inu token’s price chart, it is evident that a buyer entered at the $0.00001 level. Bulls then started to repurchase the token, stopping its price from increasing by another zero.
Shiba Inu (SHIB) Falls on Solid Support Level
Recently, investors and traders have noticed that SHIB is currently resting on a strong support level at $0.00001, which has sparked speculation about the meme coin’s probable future movements. The 200 EMA is above the 50 EMA, while the price of SHIB is below the 50 EMA. Therefore, market participants will keenly observe changes over the next few days.
A bounce off the support level and a continuation of the uptrend are two potential outcomes for SHIB. The price of SHIB has repeatedly bounced off the support at $0.00001, indicating that it is a solid foundation.
SHIB/USD 4-hour chart | Source: TradingView
At the time of writing, SHIB is changing hands at $0.00001029. Increased purchasing interest and a potential reversal of the recent decline might be seen if the RSI, now at 40, moves higher and the trading volume increases. In this scenario, traders can search for a chance to open long positions to make more money.
A period of consolidation with the price remaining in a constrained range near the $0.00001 support level is another scenario for SHIB. This scenario may occur if the RSI remains consistent near the 40 level and trade volume remains moderately low, indicating a lack of significant buying or selling pressure.
In this scenario, traders can refrain from entering any trades in favor of waiting for a more definitive indication of the coin’s future trajectory. It is important to remember that consolidation episodes can linger for a long time until a clear breakout takes place, either to the upside or negative.
The final scenario concerns a breach of the $0.00001 support level, which would result in further price drops for SHIB. This may occur if the sell-side trading volume rises and the RSI keeps falling, indicating bearish momentum.
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