Shiba Inu (SHIB) Price Surge Slows as Indicators Point to More Corrections Ahead

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As an analyst with years of experience in the cryptocurrency market, I have seen my fair share of meme coin price fluctuations, and Shiba Inu (SHIB) is no exception. The recent 59.71% surge in SHIB’s price within a month is impressive, but the decrease in its market cap and the negative MVRV suggest that the asset may still be oversold or undervalued.

Over the past month, Shiba Inu (SHIB) has experienced a significant 59.71% price increase. However, its market capitalization has dipped below the $18 billion threshold. Yet, even with this drop, SHIB continues to hold the position of the second-largest meme coin in circulation, trailing only behind Dogecoin.

right now, SHIB’s 7-day MVRV stands at -3.79%. This implies that those who hold SHIB have generally incurred an average loss of approximately 4% over the last week. This could suggest that the asset might be either underpriced or oversold, potentially leading to more brief downward adjustments before a possible price recovery ensues.

SHIB 7D MVRV Shows More Corrections Could Happen Soon

Shiba Inu 7-day MVRV is currently at -3.79%, down from 5% a day ago.

It seems that Shiba Inu token holders, generally speaking, have experienced an approximate 4% decrease in value during the last week. This could potentially mean that the asset is underpriced or oversupplied in the market.

MVRV (Market Value to Realized Value) measures the difference between an asset’s market cap and its realized cap. A negative MVRV indicates that the asset is potentially oversold. While SHIB’s 7D MVRV is negative, historical data shows that it has often rebounded after reaching similar levels.

Moreover, the Shiba Inu’s price has dropped as much as -9%, and sometimes even -4%, prior to any increases. Therefore, it’s possible that the price might decrease more in the short term before potentially experiencing an upturn.

Shiba Inu Whales Are Not Accumulating

Over the past few days, the count of wallets possessing at least one billion Shiba Inu coins (SHIB) has slightly diminished. It was 10,860 on December 5th, but currently stands at 10,845.

Over the past month, we’ve noticed a consistent decrease in the count, with the number of these specific addresses dropping daily since November 8, when it peaked at 11,013.

Monitoring those whale wallets is crucial as their actions can substantially impact Shiba Inu’s price. A decrease in whale involvement might indicate less purchasing interest or possible redistribution of assets, which could exert a bearish influence on the price.

As an analyst, observing the current trend, I’ve noticed a decrease in large Shiba Inu (SHIB) holders. This potential shift might suggest growing selling pressure, which could potentially trigger additional price drops if these ‘whales’ persist in offloading their assets.

SHIB Price Prediction: Will SHIB Rebound Soon?

The moving average lines for Shiba Inu (SHIB) remain indicative of a positive trend, as the shorter-term lines continue to sit above the longer-term ones.

The cost at present falls beneath the temporary trendlines, suggesting a possible reversal in the direction of the trend.

As an analyst, if the current downward trend persists with increased momentum, I foresee the SHIB price approaching its initial support zones at approximately 0.000028 and 0.000026 cents. Should these levels prove insufficient to halt the decline, we might witness further drops potentially reaching 0.000023 cents.

If whale activity increases and MVRV signals a recovery, there’s a possibility that SHIB price may increase and challenge the resistance at $0.000033. If successful, it could potentially rise further to $0.000035 or even $0.000040 if the resistance is surpassed.

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2024-12-09 22:43