The price of top meme coin Shiba Inu (SHIB) has significantly increased in the past week. Fueled by the broader meme market rally, SHIB’s price has climbed by over 50% in the past seven days and now trades at a six-month high of $0.000025.
At its current price, SHIB trades just below the key resistance level of $0.000028. With strengthening buying pressure, the question remains: Can the bulls turn this level into a solid support floor?
Shiba Inu Sees Uptick in Buying Pressure
An on-chain analysis of SHIB’s performance shows that a significant rise in daily active and new address counts drives its recent rally. According to IntoTheBlock’s data, this past week has seen a 346% surge in the daily count of unique addresses involved in at least one SHIB transaction.
Additionally, the daily number of new addresses created to trade the meme coin has soared by 458% over the same period, indicating a substantial influx of new participants into the network.
A price rally accompanied by a surge in daily active and new addresses signals increased interest and wider market participation in the asset. In the case of Shiba Inu, the rising address count alongside its price rally suggests growing demand and a fresh influx of participants, further supporting a bullish outlook.
SHIB’s rising open interest confirms this bullish outlook. The meme coin’s open interest currently stands at $108.44 million, marking its highest level since May, following a 12% increase in the past 24 hours.
Open interest measures the total number of unsettled or open contracts (futures or options) in the market. When it rises alongside an asset’s price, it suggests fresh liquidity is entering the market. This combination is a bullish indicator, signaling the potential for a continued rally.
SHIB Price Prediction: A Rally Past This Wall
If SHIB’s current uptrend persists, its price will likely break above the $0.000028 resistance wall. Clearing this level would set the Shiba Inu price rally on track to reach $0.000032, a high last seen in March.
However, if market sentiment turns bearish and SHIB holders start taking profits, a pullback toward $0.000019 could follow, with the asset attempting to establish support at that level.
Disclaimer
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Source: https://beincrypto.com/shiba-inu-rallies-past-barrier/