Shiba Inu (SHIB) has seen significant price action recently, though it has struggled to break past a crucial resistance level. Despite the lack of sharp gains, investor confidence remains high.
This is reflected in the ongoing accumulation of SHIB, with holders continuing to purchase the token despite its stagnant price.
Shiba Inu Investors See Profits
Over the past five days, the supply of Shiba Inu on exchanges has declined by a massive 4 trillion SHIB, worth more than $115 million at current prices. This significant reduction in available supply suggests that investors are accumulating heavily. It reflects an underlying belief that SHIB will eventually experience substantial price appreciation.
Shiba Inu Supply on Exchanges. Source: Santiment
Despite the meme coin’s inability to break past key resistance levels, its community remains undeterred. Investors are showing resilience, betting on future market conditions that might enable SHIB to break its stagnation. The sustained accumulation signals confidence, particularly in light of the broader market trends, which have yet to deliver sharp, sustained price gains.
The macro momentum for Shiba Inu is also increasingly bullish, driven largely by the actions of long-term holders (LTHs). These investors typically hold their tokens for over a year, providing stability and reducing market volatility. Currently, LTHs control 74% of all SHIB tokens in circulation, a figure that emphasizes their strong belief in the future of the coin.
Shiba Inu Supply Distribution. Source: IntoTheBlock
This substantial concentration of SHIB in long-term holdings is a positive indicator of the token’s stability. It suggests that a significant portion of the market is not swayed by short-term price fluctuations and is focused on the coin’s long-term potential.
SHIB Price Prediction: Resistance Ahead
Shiba Inu’s price is currently facing resistance at $0.00002976. The altcoin aims to push past this level, potentially recovering the 15% losses seen this week.
If momentum builds, SHIB could regain its position, targeting the next resistance at $0.00003306. This would mark a significant recovery for the meme coin.
Given the current market sentiment and long-term holder activity, there is potential for Shiba Inu to break through $0.00003306. If this happens, the altcoin could surge further, reaching $0.00003515. This would signal increased investor confidence and a more sustained upward trend for SHIB in the near term.
Shiba Inu Price Analysis. Source: TradingView
However, failure to break the $0.00002976 resistance could result in a bearish reversal for SHIB. If the price drops below this level, the altcoin might fall to $0.00002606. A further decline beneath this threshold would invalidate the bullish outlook, signaling a deeper correction and extended losses for Shiba Inu.
