Despite some brief price drops, Shiba Inu has been a popular target for cryptocurrency investors, and current indicators point to a bullish future. A combination of solid fundamentals and technical indicators that may portend an impending rally are revealed by analyzing the most recent data.
This is the situation and the potential response of traders. Just 4% of holders are at average, 36% are in the money and 59% of holders are in profit, according to the distribution. This points to a robust market structure and high investor confidence. Strong whale interest, which frequently predicts future price movements, was reflected in the large transaction volume of $185.86 million.
SHIB/USDT Chart by TradingView
Large holders own about 74% of SHIB, a concentration that can help lower volatility and provide stability because these investors are less likely to panic sell. Since SHIB and Bitcoin have a moderate correlation of 0.46, its price may move more independently and isn’t entirely tied to BTC. Furthermore, 78% of SHIB holders have been investors for a long time, which suggests that they have strong conviction and are not under as much pressure to sell.
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The price of SHIB is gradually declining toward its annual high, and the rising trendline has been broken despite these bullish indications. Additionally, the trading volume is dropping quickly, which can point to a brief lull or period of consolidation before the next move. Since the market is dominated by long-term investors and large holders, the data supports holding.
Resilience is suggested by the high profit and concentration metrics. Keep an eye out for a volume rebound to verify a breakout. Though short-term bearishness may soon be overshadowed by the bullish fundamentals, the broken trendline calls for caution. It might be a good time to buy if support levels close to the annual high retest particularly if on-chain metrics hold firm.
Despite short-term challenges, SHIB’s primary indicators show a bullish outlook. By exercising strategic patience and paying close attention to volume changes, investors may be well-positioned for the upcoming upswing.
