Category: SHIB

The Shiba Inu ecosystem has been subjected to updates in the last few days as developers look to bolster the cryptocurrency’s prospects in the long term. Behind the scenes, on-chain data also reveals a bullish trend among SHIB investors, with the exchange balance dropping to new lows. 

Adding to the bullish case is the fact that SHIB’s price has bounced right off the key 0.618 Fibonacci ratio level, otherwise known as the “golden ratio.” These metrics, in combination, are particularly setting up the stage for a price surge that could see SHIB surging in the current market cycle.

Exchange Balances For SHIB Hit New Lows

According to CryptoQuant’s SHIB analytics dashboard, the total SHIB reserve on crypto exchanges has been on a free fall for the majority of this year.  At the time of writing, the SHIB exchange reserve now stands at around 150 trillion tokens, compared to 164 trillion SHIB tokens on February 29. This means the total number of SHIB tokens in crypto exchange reserves has fallen by 14 trillion SHIB in less than two months.

The drop in exchange reserve is somewhat of a bullish indicator for SHIB, as it shows that holders are less liable to sell their coins and are instead opting instead to store them in private wallets. This outflow from exchanges has particularly been compounded in the last few weeks, with on-chain data revealing an increase in activity from Shiba Inu whales. An example is a recent accumulation of 237.8 billion SHIB tokens worth $6.9 million by a new whale address. 

Furthermore, recent price action in recent months has seen the price of SHIB bouncing off the 0.618 Fibonacci ratio level on April 14th, setting up the stage for a golden ratio rebound. This is a key support level according to the Fibonacci tool, and the bounce indicated the start of a major uptrend. SHIB encountered this bounce on April 15 around the $0.00002117 price level after a correction of over 51% from its yearly high of $0.00004400. 

Shiba Inu To $0.0001?

At the time of writing, SHIB was trading at $0.00002702, up by 19% in the past seven days. Interestingly, the SHIB price has increased by over 27% since its bounce above the golden cross to confirm the crypto has fully reversed into a bullish sentiment.

Fundamentals point to a continued SHIB price surge in the coming days amid mainstream interest and adoption. One of these is the recent $12 million investment raised by the Shiba Inu team to develop a layer-3 blockchain on top of Shibarium.

With supply on exchanges diminishing and SHIB building surging after bouncing off a key Fibonacci level, the ingredients are in place for a rebound to $0.00004400 or higher. If SHIB can clear this resistance, it opens up a run toward $0.00008616, which would represent a 218% increase from today’s price.

The majority of Shiba Inu investors have been left confused about the crypto’s price trajectory in the past few weeks. While the crypto has experienced a period of stagnation in the past two weeks, recent on-chain data shows that the outlook might be looking bullish again, particularly as selling has slowed dramatically this week. At the same time, Shiba Inu has now crossed a major milestone in the number of addresses, which could mean an increase in the number of holders.

Shiba Inu Sell Pressure Drops

The price of Shiba Inu can easily be moved by selling and buying pressure from investors. Recent on-chain data, however, indicates that the selling pressure is currently decreasing, which could manifest in the price of the SHIB in the coming week. Particularly, IntoTheBlock’s historical active address by profitability shows the yearly average now shifting towards wallet addresses at the money.

Interestingly, this cohort of traders is now at almost 74.6%, meaning they contribute to the majority of the buying and selling action. However, their “at the money status” doesn’t give a clear path to their actions, as they could either be selling or increasing their holdings at the current price.

On the other hand, this metric indicates better action among the active portion of addresses that are “in the money.” Interestingly, these “in the money” addresses have now seen their year-to-date activity average falling below 18%. This cohort of traders, who would normally be selling after reaching profits on their holdings, have failed to conduct a tangible number of transactions. Interestingly, this indicates they might be opting to hold right now in order to increase their unrealized profits.

Similarly, on-chain data shows a substantial amount of SHIB moving out of the hands of short-term holders, contributing to a drop in selling pressure. About 4% of the entire circulating supply of SHIB has moved from short-term holders to mid-term holders in the past week. Mid-term holders hold their assets for more than a month to a year, in contrast to short-term holders, who are known for holding for less than a month before selling. 

What’s Next For SHIB?

With decreasing sell pressure and a shift to longer holding times, SHIB is poised for a reversal and continued upward momentum. At the time of writing, SHIB is trading at $0.00002766, down by 1.1% in the past 24 hours and up by 4.65% in a larger 7-day timeframe.

Shiba Inu recently attained a milestone of 4 million addresses, which could mean an increase in activity is on the horizon. A surge in activity could see SHIB repeating a bullish pattern from the 2021 bull run. According to crypto analyst Bunchhieng, if history were to repeat itself, a repeat of this pattern would see SHIB rising to $0.0001.

A crypto analyst has raised the possibility of Shiba Inu (SHIB) rising to as high as $0.0001. As part of his analysis, he highlighted certain factors that could contribute to the meme coin experiencing this parabolic price surge. 

Shiba Inu To Rise To $0.0001 If History Repeats Itself

Crypto analyst Bunchhieng suggested in his analysis that SHIB could attain such a price level if history were to repeat itself, and SHIB mirrors its bullish pattern from the 2021 bull run. He affirmed that based on the patterns that he observed from the previous bull market, it was “quite possible” for SHIB to hit $0.0001. 

The analyst also tried to clear the doubts of those who believe that such a price surge isn’t likely considering SHIB’s market cap, stating that anything was possible in the crypto world. Meanwhile, he added the SHIB burn rate, which has continued to increase exponentially, as another factor that could have a “positive effect” on the meme coin’s value. 

Bunchhieng’s price prediction also looks feasible when one considers crypto analyst Rekt Capital’s recent analysis, in which he suggested that SHIB was already mirroring its price action from 2021. Back then, he revealed that SHIB, similar to 2021, had successfully retested the $0.000026041 price as a new support level. 

In a more recent update, Rekt Capital also suggested that SHIB was showing enough strength to make a similar run to the one in 2021, stating that SHIB’s current support level served as resistance for the meme coin in early 2022. 

SHIB Could Indeed Hit $0.0001

Bunchhieng isn’t the only crypto analyst who believes that SHIB can hit $0.0001. Crypto analyst Javon Marks also predicted that the meme coin could rise to $0.0001553 once it hits the $0.000081 price range. Interestingly, these aren’t even the most bullish predictions for Shiba Inu. 

Crypto analyst Armando Pantoja, who recently outlined his price targets for different crypto tokens, predicted that the meme coin could rise to $0.001 after the Bitcoin Halving. Meanwhile, crypto analyst Ali Martinez predicted that SHIB could rise to $0.011, although he didn’t give a specific timeline for when this unprecedented price surge will occur. 

Despite the varying price predictions, it is, however, clear that SHIB is more than likely to hit a new all-time high (ATH) in this bull run. Pseudonymous crypto analyst and trader Xanrox believes this could happen as soon as July, predicting that the crypto token would rise to $0.00008854 by then.