Shiba Inu Reverses Downtrend – What’s Next For Investors?

3 min read
Shiba Inu

Shiba Inu (SHIB) has sustained an impressive bullish streak over the past week, marking a significant upward trajectory in its value. With seven out of the last eight days showing positive growth, the meme coin has not only managed to reclaim a critical low of $0.0000076 it registered in December last year, but has also encountered several notable barriers along its upward climb.

In its journey through September, SHIB faced resistance from the established resistance zone and a daily bearish order block situated above $0.00000755.

However, the October rally saw a significant shift, as the hurdle transformed into support, propelling the coin beyond the December low, with the current SHIB price according to CoinGecko standing at $0.0000078, indicating a 2.5% dip over the last 24 hours but still showcasing a substantial 14% surge over the past seven days.

Price Analysis Reveals Liquidation Levels And Potential Pullbacks

The recent price analysis report has highlighted substantial liquidation levels within the cryptocurrency market, drawing attention to a key threshold at $0.0000077 as the upper boundary for liquidations. Additionally, the analysis revealed that medium liquidation levels are concentrated within the range of $0.0000078 to $0.0000079.

These findings indicate that traders and investors should closely monitor these price levels, as they serve as crucial points of interest, potentially signifying significant shifts in market sentiment and trading activity.

The data suggests that these specific price points are currently important reference points in assessing the cryptocurrency’s price dynamics and potential market reactions.

This information hints at the possibility of an extended pullback, potentially leading to a liquidity hunt that could drive SHIB towards the $0.0000077 mark.

Source: Hyblock

The medium liquidation level at $0.0000083 is a significant chart obstacle for SHIB, potentially posing a formidable challenge to any further price increases. It has historically acted as a strong resistance point, and breaking through it could be a key factor in SHIB’s future price performance.

The bullish momentum of Bitcoin has the potential to be a crucial factor in helping SHIB overcome its current price obstacle, especially if Bitcoin surpasses the $35,000 mark. Bitcoin’s significant influence on the broader cryptocurrency market means that a strong Bitcoin rally could stimulate greater interest and investment in SHIB, possibly enabling it to exceed the $0.0000083 level. This highlights the interdependence of various cryptocurrencies and the impact of Bitcoin’s performance on its counterparts.

SHIB seven-day price performance. Source: Coingecko

SHIB’s Growing Investor Interest

Interestingly, Shiba Inu has witnessed a surge in the total number of addresses, currently reaching a new high of 3.63 million, as per data provided by IntoTheBlock.

SHIB reached a market cap $4.626 billion today. Chart:

This substantial increase in the number of addresses indicates a growing interest in SHIB among investors and traders. Furthermore, IntoTheBlock’s data also highlights an uptick in Shiba Inu profitability, indicating that the positive price action has contributed to a favorable investment landscape for the meme coin.

Shiba Inu’s recent price movements suggest a resilient and increasingly promising outlook, despite the challenges posed by key resistance levels and potential pullbacks.

As Shiba Inu reverses its December downtrend, investors are eagerly watching for signs of a potential upward trend. The cryptocurrency market’s resilience and the enthusiasm of Shiba Inu’s community underline the possibility of brighter days ahead.

(This site’s content should not be construed as investment advice. Investing involves risk. When you invest, your capital is subject to risk).

Featured image from Car Treatments

Source link