A recent decline in Bitcoin‘s price to approximately $90,000 has resulted in a cooling effect across the cryptocurrency landscape. This adjustment is viewed as a typical pullback following a vigorous rally that had initially revived bullish momentum. Many traders continue to maintain a positive outlook regarding market recovery, with several prominent altcoins, such as Shiba Inu (SHIB), positioned for potential rebounds.
What is the Current Status of Shiba Inu?
As of the latest updates, Shiba Inu has seen a decrease of around 5.7%, trading at about $0.0000263. Data from CoinGecko indicates that SHIB’s market capitalization stands at $15.58 billion, alongside a 24-hour trading volume of $2.53 billion.
What Does MVRV Analysis Say About SHIB?
The 30-day MVRV ratio for Shiba Inu has climbed to 25%, according to Santiment data. This suggests that short-term traders are beginning to take profits, signaling that a profit-taking phase might be approaching. Despite today’s optimistic market conditions, SHIB saw a decline of 6% to $0.0000261, indicating the possible formation of the right shoulder in an inverse head and shoulders pattern.
If a market correction occurs, SHIB could potentially fall another 20%, retesting the support level at $0.00002074. This support aligns with the 20-day EMA, marking a significant point for potential buyers. Key takeaways include:
- SHIB’s recent surge indicates strong demand but may face resistance.
- The MVRV ratio points to imminent profit-taking by short-term traders.
- Potential support levels are critical for future price movements.
Looking ahead to November, there is optimism for a rebound in the market. If conditions remain favorable, SHIB’s price could exceed the $0.00003 resistance level, possibly climbing to $0.000035 and even reaching $0.000038 by month’s end. Traders are advised to keep a close watch on support and resistance dynamics, while also leveraging market data and technical indicators to make informed decisions.