Shiba Inu price rebounded on Thursday, establishing a six-month low after the recent market crash. The price of SHIB is trending upwards, but the overall trajectory is downward. Whale activity is rising as new whales snag over 220 billion SHIB worth $3.11 million.
Shiba Inu still has some way to go before it can turn bullish. Two major resistance levels appear overhead. To surpass them, SHIB will require much more volume.
Uptick in SHIB Whale Activity Signals Accumulation
Despite the aforementioned bearish outlook, Shiba Inu whales are active, as shown by the Whal transaction cont metric. This indicator tracks individual SHIB transfers worth $100,000 or more. Whale activity has recently picked up around Shiba Inu, as observed by looking at IntoTheBlock’s large transaction count metric.
The number of large transactions involving SHIB increased from August 7 to August 8, signaling an uptick in investors’ interest, which is bullish for the Shiba Inu price.
Additionally, Arkham Intelligence records a new smart whale that bought billions of SHIB over the past 48 hours. The whale identified as “0x4B5C” bought 220.34 billion SHIB worth $3.11 million from Coinbase. Consequently, SHIB long-term holders, who are usually whales, have increased to 78%, inspiring confidence among non-holders.
The rise of the SHIB open interest (OI) over the last 24 hours to 9.2% signals an inflow of capital into the meme coin.
Additionally, the SHIB cumulative volume delta (CVD) dropped to -204B, signaling that more people are selling than buying.
Increasing OI and price may signal shorts opening as the SHIB price approaches a potential resistance zone. Additionally, increasing OI and a dropping CVD show shorts are opening, which is a bearish signal for the SHIB price.
Will Shiba Inu Price Breakout?
SHIB price is in an overall downtrend, as seen from the falling channel (marked in orange). The price is currently trading below both the 50-day ($0.00001557) and the 200-day exponential moving averages (EMAs) ($0.00001867), reinforcing the bearish trend. However, a short-term upward correction occurs as the price attempts to break out of the descending channel.
The price action of Shiba Inu faces resistance at the 50-day EMA, near the 200-day EMA, and between $0.00001800 and $0.00001900 (highlighted in orange on the chart). Conversely, Shiba Inu price is supported at the lower boundary of the falling channel around $0.00001000 and near the $0.00000800 level, which is a historical support zone.
The SHIB price analysis chart shows recent bullish momentum, with larger green candles forming. However, the overall trend remains bearish, and this upward movement could be a pullback before the downtrend continues.
The Relative Strength Index (RSI) at 45.60 indicates a neutral to bearish position, leaning toward oversold territory. There is room for upward movement but a lack of strong momentum. The Chaikin Money Flow (CMF) is slightly negative at -0.12, indicating a minor outflow of capital, which aligns with the bearish sentiment.
Shiba Inu price prediction shows that if the asset rises and breaks above the 200-day EMA, it will signal market strength, invalidating the bearish thesis. SHIB price may surge higher to the next resistance levels around $0.00002300 and $0.00002800.
The post Shiba Inu Price Analysis: Rising Whale Activity Signals Potential Breakout appeared first on CoinGape.
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