- Shiba Inu’s trading activity remained low last week.
- Despite a rise in NVT ratio, there were chances of bullish trend reversal.
As the market condition changed, Shiba Inu [SHIB] and several other cryptos fell victim to price corrections. AMBCrypto took a closer look at the world’s second-largest memecoin’s state for its price prediction.
Market condition turns bearish
Shiba Inu witnessed a 7% price correction last week. Things in the past 24 hours were also not in investors’ favor as the memecoin’s daily chart remained red. At press time, SHIB was trading at $0.00001769 with a market capitalization of over $10.4 billion. The recent price correction pushed many investors into losses.
AMBCrypto’s look at IntoTheBlock’s data revealed that over 52k Shiba Inu addresses were out of money, which accounted for 39% of the total number of SHIB addresses.
Source: IntoTheBlock
Shiba Inu price prediction
AMBCrypto then delved deeper into Shiba Inu’s on-chain data for its price prediction. Our analysis of Santriment’s data revealed quite a few interesting developments.
We found that Shiba Inu’s social dominance remained high last week. This wasn’t surprising considering the popularity of Shiba Inu among investors and memecoin enthusiasts.
However, trading activity remained low during the same time. This development was evident from SHIB’s closely knit supply on exchanges and supply outside of exchanges graphs.
Additionally, SHIB’s supply held by top addresses graph also remained flat last week. It was interesting to note that despite less whale activity, the big pocketed players in the market held 59% of SHIB’s total supply.
Source: Santiment
AMBCrypto’s analysis of Glassnode’s data revealed yet another bearish signal. After a drop, Shiba Inu’s NVT ratio was rising. Whenever the metric increases, it indicates that an asset is getting overvalued, hinting at a price correction in the coming days.
Nonetheless, as per CFGI.io’s data, SHIB’s fear and greed index had a reading of 44%, meaning that the market was in a neutral position. This clearly suggested that the memecoin’s price could head in either direction.
Source: Glassnode
AMBCrypto then assessed Shiba Inu’s daily chart to find out what technical indicators had to suggest regarding the memecoin’s near future. We found a bullish pennant pattern forming on SHIB’s chart.
At press time, SHIB was testing the support of the pattern, and a successful test could push it towards the pattern’s resistance.
Read Shiba Inu [SHIB] Price Prediction 2024-2025
Mentioning Shiba Inu’s price prediction, in case of a breakout, SHIB might first target $0.00002. Going further north, the net target might be $0.000025 in the short term.
However, if SHIB falls below the pattern, it might drop to $0.000015-$0.000012.
Source: TradingView
Powered by WPeMatico
