Shiba Inu Price Flashes Bottom Signs After 9-Day Drop

As a seasoned analyst with over two decades of experience in the cryptocurrency market, I have seen my fair share of ups and downs, bull runs, and bear markets. The current state of Shiba Inu (SHIB) seems to be a mix of both, with potential opportunities on the horizon.


Yesterday, the price of Shiba Inu slipped below another significant support level, moving it near a possible rebound area. Nevertheless, data from blockchain suggests a potential floor, hinting that a price increase might be imminent soon. Additionally, technical analysis indicates a minor dip in SHIB‘s value could happen first before a predicted price spike. Currently, Shiba Inu is down 2.7% daily and is being traded at $0.00001325.

On-Chain Metrics at Shiba Inu Price Bottom

According to data provided by Santiment, there’s been an increase in social dominance, reaching its highest point in a month. This suggests that the asset is currently experiencing increased interest and conversation on social media platforms, a phenomenon that occasionally foreshadows major market shifts.

Since August 24, the price of Shiba Inu has consistently fallen, implying that the increased interest might not lead to additional purchasing activity.

Shiba Inu Price Flashes Bottom Signs After 9-Day Drop

The rise in social influence was met with more optimistic opinions than pessimistic ones, indicating that the community is confident about the asset’s future prospects even amid temporary hurdles. Should the overall market climate enhance, this optimism might lead to a rebound in prices.

Over the past 30 days, I’ve noticed that the realized capitalization of Shiba Inu has dropped to its lowest point in the last ten months. This implies that recent transactions are being executed at prices substantially lower than those seen over the previous ten months. This might suggest a decrease in investor confidence regarding the asset’s short-term outlook, potentially hinting at further market adjustments or corrections.

Shiba Inu Price Flashes Bottom Signs After 9-Day Drop

1. The 30-day and 1-year Market Value to Realized Value (MVRV) are currently decreasing together with Shiba Inu’s price, suggesting that the average Shiba Inu investor is experiencing reduced profitability. Furthermore, this trend could signal a negative market sentiment since investors may be losing faith in the asset’s short-term recovery potential.

Shiba Inu Price Flashes Bottom Signs After 9-Day Drop

On the other hand, having a low MVRV (Mempool Value Ratio of Validators) suggests a potential buying opportunity since it implies that the asset’s current price is relatively lower than its previous realizations or intrinsic value.

Due to the recent decrease in price, the amount of SHIB being held by its owners who are currently making a profit has reached a crucial point. According to Santiment data, just 30.71% of Shiba Inu holders are currently profitable. The asset’s profitability is currently at a significant support level and could potentially drop further if the price continues to fall.

Shiba Inu Price Flashes Bottom Signs After 9-Day Drop

SHIB Price Eyes 3% Drawdown Before 16% Surge

Right now, the price of Shiba Inu is stabilizing as it moves between areas where buyers are eager to purchase (demand zone) and sellers are ready to offload (supply zone). The rapid decline was caused by market makers aggressively buying up available assets during the peak, which led to a significant drop.

The estimated SHIB Inu cost forecast indicates that the asset could potentially stabilize near approximately 0.00001260 USD, then surge up to around 0.00001460 USD – representing an increase of 16%. This predicted scenario involves a brief decline of about 3% before the price rise occurs.

Shiba Inu Price Flashes Bottom Signs After 9-Day Drop

However, market makers may hunt for the sell-side liquidity, resulting in a quick run below the support level. Watch out for long bottom wicks and a surge in volume to confirm a rebound.

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2024-09-02 10:02