Shiba Inu (SHIB) has established a critical price support level amidst the market-wide downtrend, which has kept crypto prices down. This support level has been established thanks to a host of Shiba Inu holders who have invested in the meme coin at that price level with a 2 trillion SHIB buy order.
Shiba Inu Establishes Support At $0.00001
Data from the market intelligence platform IntoTheBlock shows that over 397,000 Shiba Inu addresses currently in the money bought the meme coin at an average price of $0.000010. Meanwhile, the minimum price for those buy orders is $0.000008, while the maximum is $0.000014.
Therefore, that price range acts as a significant support for the meme coin since most of its buying pressure came at those price levels. This could prove pivotal if the downtrend in the crypto market continues to subsist. Specifically, Shiba Inu is expected to hold above this level in the event of more price drops as these holders will most likely move to avoid the meme coin dropping beyond their buy price.
Source: IntoTheBlock
So far, Shiba Inu holders, especially the whales, haven’t been deterred by the meme coin’s price declines and have seen it as an opportunity to accumulate more SHIB tokens. Bitcoinist recently reported an anonymous whale who purchased 223 billion SHIB tokens after its price crashed to a low of $0.00001830.
Such buying pressure can help the meme coin stay afloat and avoid losing the year-to-date (YTD) gain of over 100%, which it already made this year. Meanwhile, the reason for this bullish sentiment among Shiba Inu investors isn’t affected, considering that the meme coin is projected to be one of the leading gainers in this bull run.
Shibarium Back In Business
Network activity on Shibarium has picked up significantly in the last seven days, with the layer-2 network recording a recent high of 958,000 daily transactions on April 15. This network resurgence could prove timely as Shiba Inu needs every bullish momentum it can get to push it to new highs.
Network activity on Shibarium is expected to keep rising. The network recently announced a significant upgrade, which makes it “faster, smoother, and more accessible than ever.” As network activity continues to pick up, SHIB’s burn rate will spike, which will ultimately affect Shiba Inu’s price positively.
The burn rate had been decent, even in the absence of the massive Shibarium-led token burns, which the SHIB community had become accustomed to towards the end of last year. Therefore, things can only get better from here on.
At the time of writing, SHIB is trading at around $0.00002265, up over 4% in the last 24 hours, according to data from CoinMarketCap.
SHIB price struggles to recover | Source: SHIBUSDT on Tradingview.com
Featured image from Coinpedia, chart from Tradingview.com
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