Whale Moves and HODLing Hints at Shiba Inu's Hidden Resilience

Analyst reports suggest that Shiba Inu (SHIB), the Ethereum-based memecoin, could experience a significant price rebound if it manages to hold above the $0.000010 support level. Recent market activity and technical analysis indicate that SHIB has been underperforming relative to its memecoin peers, with a 21% price decline recorded in recent weeks. Despite this, some analysts believe the token is poised for a turnaround, particularly if the support level is maintained and trading volumes pick up [1].

SHIB has seen mixed performance across different timeframes. Over the last 24 hours, the token’s price dropped by nearly 3%, with a weekly decline of approximately 2.41%. However, the trading volume has surged by 40% since Friday evening, outpacing some of its competitors within the memecoin category [1]. This increase in volume, despite the dip in price, may indicate growing investor interest or speculative activity as SHIB approaches key support levels.

Technical indicators further reinforce the potential for a rebound. The price has broken out of a bullish symmetrical triangle, a classic pattern that suggests a potential upward movement once resistance is overcome. However, this is contingent on the token not falling below the $0.00001295 level, which has been identified as a critical threshold. A break below this level could signal further weakness in the near term [1].

Community and ecosystem developments also play a role in SHIB’s price trajectory. Shibarium, the Layer-2 blockchain associated with the Shiba Inu ecosystem, has processed over four million transactions since its launch, contributing to the token's utility and adoption. The ecosystem includes a decentralized exchange, ShibaSwap, which supports token swaps, liquidity provision, and staking. These developments have been closely monitored by traders, with some analysts linking improvements in Shibarium’s adoption to potential SHIB price gains [1].

The broader market environment, including Bitcoin’s performance and overall crypto market sentiment, also influences SHIB’s outlook. While Bitcoin has seen record highs, the gains have been concentrated at the top of the market, with smaller tokens like SHIB struggling to keep pace. Analysts note that unless SHIB sees a surge in new address activity or whale accumulation, the token may remain under pressure [1].

Despite the bearish signals, some data points offer hope to long-term holders. Whale activity has increased, and retail investor HODLing patterns suggest a strengthening belief in SHIB’s potential. If the token can maintain its current price range and show signs of increased adoption, it could attract renewed interest from both retail and institutional investors. However, until SHIB shows a clear breakout above key resistance levels, caution is advised.

Source:

[1] Shiba Inu Slides—But Whale Activity and HODLing Pattern Say Recovery Is Near (BeInCrypto) (https://www.coinbase.com/price/shiba-inu)

[2] Shiba Inu Price Falls 21% Despite High Retention Rate: Here’s What Caused It (CoinDesk) (https://www.coinbase.com/en-gb/price/shiba-inu)