Can 76 Trillion SHIB Save Shiba Inu From Crash?

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As a seasoned crypto investor with scars from more than a few market corrections, I find myself cautiously optimistic about Shiba Inu’s current situation. The concentration of large holdings could potentially act as a stabilizing force, but it also leaves us vulnerable to a mass sell-off if profit-takers decide to cash out.

Analysis of on-chain data suggests some intriguing patterns that could potentially shape Shiba Inu’s trajectory, suggesting it might be at a pivotal moment. Notably, approximately 76 trillion SHIB is held by addresses with positions confined within a specific price range.

Is it possible that Shiba Inu (SHIB) is about to experience a steep drop, or could its heavy ownership potentially act as a buffer? The chart indicating Active Addresses by Profitability indicates that approximately 78.96% of SHIB holders are currently profitable, considering an average holding price of $0.000025.

The price at $0.00002599 is almost touching important resistance points, suggesting that numerous investors are enjoying their profits. If SHIB doesn’t surge beyond these levels, these wealthy investors might choose to sell off their holdings, potentially causing a price drop. However, it’s worth noting that only about 6% of the total holders are currently experiencing losses, implying that there hasn’t been much panic selling or capitulation so far.

This implies that most investors are optimistic, but if Shiba Inu‘s price drops below its crucial support points, this situation could shift quickly. Currently, Shiba Inu shows a bullish triangle formation on the price graph, with immediate resistance at approximately $0.000027 and strong support around $0.000023.

If this cryptocurrency manages to surge past $0.000027, it could signal a bullish trend toward $0.000030. However, if it fails to hold onto $0.000023, a significant drop might follow, potentially reaching as low as $0.000021. A larger market presence and increased volume are crucial for such price movements.

Over the upcoming weeks, Shiba Inu’s situation becomes crucial. If the token manages to break free from its holding pattern, it could reignite interest and attract fresh investments. However, if buying actions remain low, there’s a high likelihood that the market will be controlled by those looking to cash out, potentially leading to a downward trend.

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2024-11-29 14:30