Shiba Inu (SHIB), the widely known and second-largest meme cryptocurrency by market cap, seems to be on the verge of breaking out of its recent consolidation phase that has persisted for the past five trading days.
As of December 25, 2024, the overall sentiment in the crypto market is shifting from bearish to bullish, with major cryptocurrencies like Bitcoin (BTC), Ethereum (ETH), and XRP showing signs of upward momentum.
Bullish On-Chain Metrics
Coinglass, an on-chain analytics firm, has reported a noticeable increase in both traders’ and long-term holders’ interest in SHIB. Long-term holders, in particular, appear to be more confident in the meme coin’s potential.
A significant development is the $10 million outflow of SHIB from exchanges over the last three days, as indicated by data from SHIB spot inflow/outflow. This uptick in outflow suggests that long-term holders are withdrawing their assets from exchanges, potentially signaling a bullish trend.
Rising Open Interest
Intraday traders’ interest has also surged, with SHIB’s open interest increasing by 13% in the past 24 hours. This uptick in open interest indicates that traders are actively engaging with the asset following the shift in market sentiment.
Shiba Inu (SHIB) Technical Analysis and Upcoming Level
Technical analysts have observed a bullish breakout in SHIB, as the cryptocurrency has surpassed a consolidation zone and formed a bullish morning star candlestick pattern at the 200 EMA support level. Based on this recent price action, SHIB could potentially rise by 20% to reach the next resistance level of $0.000028 in the near future.
Current Price Momentum
As of now, SHIB is trading around $0.000023, experiencing a price surge of over 6.5% in the last 24 hours. The trading volume has also increased by 5%, indicating growing participation from traders and investors amidst a positive market outlook.
In conclusion, with the shift in sentiment and bullish on-chain metrics, Shiba Inu (SHIB) appears to be gearing up for a potential breakout from its consolidation phase. Traders and investors are closely monitoring the cryptocurrency’s price action, with expectations of further upside potential in the near term.