2023-07-07 00:58:50
© Reuters Shiba Inu recovery likely, on-chain metrics suggest
CriptoFácil – A (SHIB), the second largest memecoin in the cryptocurrency ecosystem, has experienced a considerable drop in its price since the beginning of June, followed by an impressive recovery. Analyst Ekta Mourya did a recent technical analysis of the cryptocurrency, suggesting a possible future trend reversal in the Shiba Inu price.
In June, the US Securities and Exchange Commission (SEC) began imposing a crackdown on cryptocurrencies. In the course of ten days, between June 5th and June 15th, the price of SHIB fell by 21%. Since then, however, SHIB has managed to recover, reaching as high as $0.00000766 by the time Mourya released his analysis.
“Token supply on exchanges has decreased considerably,” notes Mourya, “signaling a possible future trend reversal in the Shiba Inu price.”
Mourya referred to the Santiment data to highlight an increase in daily address activity for SHIB since the last week of June. This indicates a growing demand for the meme coin and growing interest among market participants.
“At current levels, Shiba Inu price faces resistance at $0.000008,” notes Mourya. “At prices below $0.000008, 57.6% of SHIB tokens held in wallet addresses are underwater, with unrealized losses. These tokens are less likely to sell at prices below $0.000008 because these addresses would have a loss if they did.”
Shiba Inu review
She adds that the current supply of SHIB on exchanges is 86.53 trillion, a level not seen since April 2021. This is a leading indicator that portfolio holders are keeping SHIB off exchanges, which means greater accumulation and , consequently, less pressure to sell.
“If the offer at brokerage houses is low, there is less availability of SHIB to sell, translating into less pressure for sale and greater room for price recovery”, says Mourya.
According to Mourya, the meme coin has no significant resistances on its way to hitting $0.000008.
“On a successful breakout of $0.000008, $0.000009 is the next level to watch,” predicts the analyst, showing cautious optimism about Shiba Inu’s future. The market, however, continues to watch closely.
#Shiba #Inu #recovery #onchain #metrics #suggest #CriptoFácil