Shiba Inu price, a popular meme-based altcoin, has shown strong upward momentum following Bitcoin’s recent all-time high of $107k. Over the past 30 days, SHIB recorded a notable 10% price gain, signaling growing investor interest. While meme coins have seen solid performances, Shiba Inu appears primed for further growth. Let’s explore 4 reasons key reasons behind SHIB’s bullish breakout potential, highlighting its recent trends and increasing optimism in the market.
Reasons For Shiba Inu Price to Breakout & Rally
The Shiba Inu price is showing strong signs of a potential breakout. This is driven by an inverse head-and-shoulders chart pattern signaling a bullish reversal and supportive on-chain metrics.
The 30-day MVRV is below zero, indicating reduced selling pressure as traders hold rather than sell at a loss. The declining supply of Shiba Inu price on exchanges suggests further bullish momentum, as fewer tokens are available for immediate sale.
Lastly, the Global In/Out of Money metric shows low resistance going ahead 16% of holders are Out of the money, rendering the possibility of selling pressure insignificant. With these 4 factors falling in line with each other, the meme coin looks ready for a massive breakout as investor attention was captured.
Shiba Inu Price Is Primed For Breakout
The inverse target is obtained by measuring the distance between the head’s right most part and its lowest point and adding it to the breakout point.. The target is calculated by measuring the distance from the head’s low to the neckline and adding it to the breakout point. This pattern forecasts a potential move toward 0.000023 for Shiba Inu, indicating strong upward momentum.
Source- TradingView
On-chain Metrics Suggest Reduced Selling Pressure on SHIB
Shiba Inu prices may turn bullish as recent on chain data reveals decline in selling pressure. The 30 day MVRV ratio, which tracks average profit/loss of investors for each token, has plummeted and thus fewer holders are deciding to sell for a profit.
Source- Santiment
SHIB’s supply on exchanges remains low, indicating reduced availability for selling. This combination of metrics often signals a potential bullish reversal as investors hold their positions instead of taking profits. Reduced selling pressure and increased investor confidence might trigger upward momentum in SHIB’s price.
Source. Santiment
Shiba Inu Price Rally Likely as Majority SHIB Holders In Profit
The majority of Shiba Inu price holders are profitable, signaling potential bullish momentum. According to the GIOM metric, 86.31% (849.56 T SHIB) are in profit, 6% (62.64 trillion SHIB) are at break-even, and 7% (72.13 T SHIB) are at a loss.
Source- ITB
At the time of reporting, the SHIB price is trading at $0.00002727, with a slight surge of 2% in the past 24-hours This surge follows the crypto market rally with BTC hovering above $107k and ETH rallying above $4k, fueling the rally. If the bullish trend continues, the SHIB price prediction could hit $0.00004 by the end of year 2024.
In summary, bullish chart patterns, reduced selling pressure, combined with strong on chain metrics, make a Shiba Inu price breakout move from current levels seem possible to new highs as investor sentiment continues to grow.
The post 4 Reasons Why Shiba Inu Price is Primed For Breakout appeared first on CoinGape.
