Shiba Inu (SHIB), known as the second-largest meme cryptocurrency, has recently caught the attention of major investors and financial institutions. This surge of interest comes amid ongoing price consolidation, which is often a precursor to a bullish trend. In recent reports from the on-chain analytics firm IntoTheBlock, it was noted that SHIB’s large transaction volume has witnessed a remarkable increase of 98% within just 24 hours. This spike indicates a significant level of participation from wealthy investors and institutions, suggesting a possible imminent rally.
Whale Activity: Large Transaction Volume Skyrockets by 98%
The substantial rise in transaction volume is a promising indicator for SHIB and could pave the way for retail investors and traders to join the market. In addition to this, exchange reserves for SHIB have notably decreased over the past day, further solidifying the optimistic outlook for the cryptocurrency. A decline in exchange reserves is often interpreted as a sign that investors are moving their holdings to private wallets, which can indicate confidence in future price increases.
Massive Withdrawal: 1.67 Trillion SHIB Tokens Removed
In-depth analysis from another analytics firm, Santiment, highlights a massive withdrawal of over 1.67 trillion SHIB tokens, valued at approximately $41 million, from exchanges within the last 24 hours. Historically, similar patterns of exchange outflow have preceded substantial price rallies, with SHIB previously experiencing a price hike of around 62% following such activity. This time, the increased transaction volume showcases robust involvement from investors and whales, likely due to expectations of an impending price surge, prompting the withdrawal of billions of tokens.
Current Price Dynamics
Despite the positive on-chain metrics suggesting bullish momentum, SHIB is currently facing challenges in gaining upward traction. At the time of reporting, SHIB is trading close to $0.000024, marking a 3.25% decline over the past 24 hours. The trading volume during this period has also decreased by 12.5%, reflecting reduced trader and investor engagement, potentially influenced by FLOKI’s ongoing price consolidation.
SHIB Technical Analysis: Patterns and Potential Breakouts
Technical analysis from CoinPedia reveals that SHIB is currently forming a descending triangle pattern on the four-hour chart, suggesting an impending breakout. Historically, if SHIB manages to break above this pattern and sustain a four-hour candle closing above the $0.000026 threshold, the meme coin could initially rally by 13% to attain the subsequent resistance level at $0.000030.
Should SHIB overcome this critical resistance, the potential for a further rally exists, with the coin possibly gaining an additional 25%, aiming for the $0.000038 mark as its next target. Current technical indicators such as the Relative Strength Index (RSI) and the 200 Exponential Moving Average (EMA) imply a bullish trend is underway, suggesting a possible upside rally in the near future. Investors and traders should closely monitor these levels for potential market movements.
