Shiba Inu (SHIB) has leapfrogged Litecoin (LTC) on the cryptocurrency rankings following the market shake-up on Thursday. While SHIB held firm at the $0.000008 support, Litecoin (LTC) hit a yearly low of $56, taking its market capitalization below $5 billion in the process.
Despite initial problems surrounding the Shibarium mainnet launch, SHIB bulls maintained an optimistic stance amid Thursday’s crypto market downturn. Shiba Inu has now leapfrogged Litecoin into fourteenth place on the crypto market capitalization rankings.
Market capitalization is a financial metric that represents the total value of a cryptocurrency’s circulating supply. This can be easily calculated by multiplying the price of the cryptocurrency against its circulating supply. It provides an estimate of the overall value of a company or cryptocurrency at a specific point in time.
SHIB leapfrogging Litecoin – one of the world’s most popular peer-to-peer crypto payment networks — is a testament to Shiba Inu’s thriving community and growing adoption globally.
Shiba Inu has recently expanded its communication footprints into highly-populated markets, including India and China. This could help SHIB attract new demand to stay afloat amid industry-wide headwinds.
Bullish Traders Remain Optimistic of Staying Afloat
A deeper look into the on-chain data shows that Shiba Inu bulls have continued piling orders to defend their positions.
As things stand, the bulls have placed active orders to buy 1.5 trillion SHIB. But this is considerably higher than the 1.2 trillion SHIB tokens up for sale.
The Exchange On-chain Market Depth chart shows the real-time price distribution of active orders placed across recognized exchanges.
Despite the market downturn, SHIB market demand across exchanges still exceeds supply by over 300 billion tokens.
This resilience shown by the bullish Shiba Inu investors means that SHIB’s price could hold firm at $0.000008 and remain ahead of Litecoin in the crypto rankings in the coming days.
SHIB Price Prediction: Consolidation above $0.000007
Drawing inferences from the on-chain stats outlined above, SHIB’s price will likely consolidate above the $0.000007 support level.
The In/Out of Money Around Price (IOMAP) data, which shows the purchase price distribution of current Shiba Inu holders, also validates this premise.
As seen in the chart below, 30,520 addresses had bought 30.9 trillion SHIB at the average price of $0.000008. If they continue to pile on buy orders, SHIB could experience firm support at that range.
However, if the industry headwinds prove too strong, the bulls will have to mount another buy-wall around $0.000007.
In contrast, the bullish traders could spearhead an unlikely rally back toward $0.000010. But in that case, the 27,730 addresses had bought 23.4 trillion SHIB at the average price of $0.000009, which could trigger a pullback.
However, if the industry-wide headwinds taper off, SHIB could continue to outperform Litecoin and reclaim the $0.000010
Disclaimer
In line with the Trust Project guidelines, this price analysis article is for informational purposes only and should not be considered financial or investment advice. BeInCrypto is committed to accurate, unbiased reporting, but market conditions are subject to change without notice. Always conduct your own research and consult with a professional before making any financial decisions.
Source: https://beincrypto.com/shiba-inu-market-cap-surpasses-litecoin/