Shiba Inu’s price recently witnessed a notable incline, and investors and traders are keenly observing the indicators to forecast its next move. Is this just another crypto rollercoaster, or are we seeing the beginning of a sustained price elevation for the memecoin?
SHIB has accumulated a staggering growth of 343.06% in the last month and almost 50% in the last 24 hours. This movement sends a strong signal to the market, but the question on every investor’s mind is: Can SHIB maintain its bullish momentum?
Just a week ago, Shiba Inu’s MVRV ratio was at a modest 0.5, a marker that the average SHIB was being held at a price lower than the market value, suggesting undervaluation or a lack of investor confidence. As the MVRV ratio soars to 1.29, it reveals a dramatic shift in market dynamics.
This leap indicates that the value perceived by SHIB holders has more than doubled, hinting at a strong bullish sentiment and potentially increased speculative interest.
The MVRV ratio, which compares the market capitalization (current price multiplied by the circulating supply) with the realized capitalization (the value of coins when they last moved), verifies the market’s profit and loss.
The current ratio underscores that most SHIB investors could sell at a profit, which could lead to either profit-taking or bolstered investor confidence, each with its implications for SHIB’s future price trajectory.
Currently, 58.31% of the total supply of SHIB is held by top addresses, a slight decrease from 59.55% just three days prior. This modest decline occurred alongside a price surge, yet the data confirms that top addresses maintain their SHIB holdings.
A stable or increasing percentage of supply held by top addresses could indicate their ongoing confidence in the token’s potential for growth, which may favor SHIB’s price.
The In/Out of Money Around Price (IOMAP) chart is a treasure map for SHIB traders, showing key price levels where addresses bought their tokens. With a current price of $0.000039, most holders are ‘In the Money,’ which could provide strong support at this level.
Should SHIB maintain its hold above $0.000039, it might reinforce investor confidence, potentially propelling the price toward the next resistance near $0.000045. However, if it can break these resistances, Shiba Inu could continue its growth trajectory until $0.00006, leveraging 50% in gains in the next weeks, approaching its ATH.
Conversely, slipping below this pivotal line could see SHIB fail to seek support around $0.000035, where many addresses may choose to ‘break even’ on their investments.