Key Shiba Inu Metrics Are Soaring Today: Will SHIB Price Rally Enter?

TL;DR

The price of Shiba Inu was down 3% daily, but the rise of some important indicators that are part of the ecosystem suggest a potential rally. Some analysts are predicting a bullish future for the meme currency based on technical indicators like the RSI, while others are predicting a bearish outcome. The explosion of indicators

The cryptocurrency market plunged substantially in the past 24 hours following news that the US government moved $2 billion of its bitcoin (BTC) holdings to another address (possibly in preparation for a sale ).

One of the digital assets that was negatively affected after that was the popular meme coin Shiba Inu, whose price fell by 3%. However, the resurgence of some important metrics indicates that the pullback could be replaced by a rally soon.

Shiba Inu’s burn rate, for example, soared over 7,000% on a daily basis, resulting in 2.3 million tokens sent to a null address. The USD equivalent of storage may be negligible, but continued efforts in this field will reduce the huge circulating supply of the meme coin, potentially driving up the price (assuming demand stays the same or heads north)

SHIB whale activity has also increased. Data from IntoTheBlock shows that the aggregate daily volume, where each transaction on the chain exceeds $100,000, has increased by 430%, surpassing $32 million. Daily active addresses have also increased, albeit more modestly.

Another essential indicator worth watching is the SHIB exchange net flow. According to CryptoQuant, outflows have predominantly exceeded inflows in the past 30 days, indicating a shift away from centralized platforms towards self-custody methods. This is considered bullish for the meme coin price as it reduces immediate selling pressure.

What do the analysts say?

Earlier this week, X user JAVON MARKS argued that SHIB has “confirmed a hidden bullish macro divergence with its RSI”, which could indicate a “full recovery” and could be followed by a rally to $0.0000456 (up 171% from today). evaluation).

The relative strength index, which measures the change and speed of price movements, showed a buy signal on July 25, falling below 30. It is currently in the neutral zone around 45.

Another X user, however, envisioned a more bearish scenario. They assumed that SHIB could plummet to $0.000015 if it misses the major resistance at $0.000017. It is worth mentioning that the price is trading below this mark at the moment.

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