In this bull run, despite opting for blue-chip cryptocurrencies, most investors and traders are opting for meme coins for a quick profit. While examining the growing interest in meme coins, CoinPedia’s technical expert highlighted Shiba Inu (SHIB), the second-largest meme crypto coin, as being poised for a notable bullish moment.
Shiba Inu (SHIB) Technical Analysis and Next Level
According to expert technical analysis, SHIB broke out of a tight consolidation zone near the horizontal level of $0.0000295. With this recent breakout, the path for bullish momentum seems clear. Based on the price action, there is a strong possibility that the meme coin could surge by 30% to reach the $0.000041 mark in the coming days.
On the upside, SHIB is trading above the 200 Exponential Moving Average (EMA) on the daily timeframe, indicating a bullish trend. Meanwhile, the Relative Strength Index (RSI) is currently below the overbought area, suggesting that SHIB still has enough room to move higher in the coming days.
The RSI is a technical indicator that determines whether an asset is overbought or oversold, helping traders and investors make informed decisions about building positions.
Bullish On-Chain Metrics
With this bullish price action, it appears that whales and institutions have demonstrated strong interest and confidence in the meme coin, as reported by on-chain metrics from Coinglass.
$51.63 Million in SHIB Outflows from Exchanges
According to SHIB inflow/outflow data, exchanges have witnessed a significant outflow of $51.63 million worth of SHIB since the beginning of December 2024.
In the context of cryptocurrencies, an outflow refers to the movement of assets from exchanges to wallet addresses, indicating that long-term holders have accumulated significant amounts of meme coins. This outflow suggests a perfect buying opportunity, indicates potential upward momentum, and further reduces selling pressure.
83% of Top Traders Hold Long Positions
Apart from long-term holders, traders have also shown confidence in the meme coin. According to the data, the long/short ratio of SHIB on Binance currently stands at 5, indicating a strong bullish sentiment among traders.
Currently, 83.35% of top traders on Binance hold long positions, while 16.65% hold short positions.
At press time, SHIB is trading near $0.0000315 and has seen a price gain of over 4.35% in the past 24 hours. During the same period, its trading volume has increased by 80%, indicating increased participation from traders and investors in response to SHIB’s bullish outlook.
