Shiba Inu, unlike other major cryptocurrencies that saw significant gains recently, has struggled to increase in value. SHIB investors are anxiously awaiting a profitable surge, which hinges on the memecoin breaking out of its current consolidation phase. The coin needs to overcome significant barriers to achieve this desired price hike.
What Challenges Lie Ahead for Shiba Inu?
To escape its consolidation, Shiba Inu must deal with approximately 60.14 trillion SHIB, valued over $1.54 billion, bought between $0.00002500 and $0.00003000. According to Global In/Out of the Money (GIOM) data, the memecoin needs a 19% increase from its current trading price to provide gains for investors. This will require robust support from both investors and positive market indicators.
Investor confidence in SHIB’s rise is waning, as evidenced by their willingness to sell assets at any sign of profit. Currently, only about 20% of active addresses on the network show profitability. This behavior indicates a focus on short-term gains, which could hinder the memecoin’s price recovery and lead to continued consolidation.
Analyzing the SHIB Chart
In the past month, Shiba Inu’s price has fluctuated between resistance and support levels of $0.00002584 and $0.00002267. Despite multiple attempts, SHIB has not managed to break out in either direction. Moving forward, the memecoin might fall back to test the $0.00002267 support level and then rise again within this range.
A breakout or breakdown from these levels will disrupt the current consolidation pattern. An upward move could push SHIB’s price to $0.00002835, while a downward trend may drive the price down to $0.00002093. Investors should keep an eye on Ethereum’s movements during this period, as they might influence SHIB’s trajectory.
Investment Insights
Key Considerations for Investors:
- Monitor SHIB’s price movements for potential breakout or breakdown signals.
- Keep track of Ethereum’s performance, as it may impact SHIB.
- Consider the high volume of SHIB purchased at key price points when evaluating investment decisions.
- Be cautious of short-term profit-taking behavior among other investors.
In conclusion, Shiba Inu faces significant challenges in achieving a price increase amid a volatile market. Investor behavior and market signals will play crucial roles in determining the memecoin’s future performance.