Shiba Inu (SHIB) is on the verge of escaping a 20-day consolidation period. Despite a generally bullish market, SHIB has faced persistent bearish pressures. However, recent indicators suggest a potential shift. The daily candle on SHIB’s price chart is approaching a crucial resistance level, which has been tested previously, hinting at a possible breakout.
Why is Profitability Ratio Rising?
Large investors have reduced their activity in SHIB, yet the coin’s profitability ratio has surged. Data from Santiment reveals that the daily trading volume profit-loss ratio reached its highest point in seven months at 6.45. This means for every loss-making SHIB transaction today, there are 6.45 profit-making transactions. Nevertheless, 72.79% of SHIB investors are still experiencing losses. Access COINTURK FINANCE to get the latest financial and business news.
In addition, Shiba Inu’s lead developer, Shytoshi Kusama, marked the first year of the SHIB network with a celebratory “Happy Birthday” gif tagged “#Shibarium.” This celebration coincided with ongoing developments and achievements in Shibarium, contributing to a 1.5% increase in SHIB’s price over the past 24 hours, now standing at 0.00001437.
What Do Derivative Data Indicate?
Data from Coinglass’s Crypto Derivatives Visualizer shows a 0.85% increase in open interest (OI) over the last four hours, accompanied by a rise in price. This increase suggests that investors are opening long positions, anticipating a further price increase for the memecoin.
Key Inferences for Investors
Based on current market data, here are some actionable insights for investors:
- A potential breakout could lead SHIB’s price towards the 0.00001783 level if it surpasses the 50-day EMA with increasing volume.
- If SHIB fails to break the 50-day EMA, the upward trend might be short-lived.
- A fall back to the 0.00001290 level is possible if the breakout does not occur, signaling a return to a bearish trend.
Technical indicators are showing strong buying pressure for SHIB, but caution is advised. The coin’s immediate future hinges on its ability to surpass key resistance levels.
Disclaimer: The information contained in this article does not constitute investment advice. Investors should be aware that cryptocurrencies carry high volatility and therefore risk, and should conduct their own research.
Source: https://en.bitcoinhaber.net/shiba-inus-breakout-nears