Shiba Inu has been on a strong uptrend since September. This rally allowed memecoin to take advantage of optimistic market sentiment and record a 24% gain in 24 hours.
However, growing uncertainty among investors could delay the cryptocurrency’s ability to fully capitalize on its current momentum. With capital outflows on the rise, concerns are growing about whether SHIB can maintain its upward trajectory and convert the recent price action into profitability.
Shiba Inu Investors Await Profit
According to the GIOM (Global In Out-of-the-Money) metric, approximately 21.53 trillion SHIB tokens, valued at over $660 million, are about to become profitable. These tokens were purchased in the price range of $0.00002900 to $0.00003300.
However, as the market faces uncertainty, continuation of this rally looks a little difficult. While price action has been positive recently, maintaining momentum in the current environment can be challenging.
Shiba Inu GIOM. Fonte: IntoTheBlock
Broader market sentiment is mixed, with technical indicators offering a cautionary signal. The Chaikin Money Flow (CMF) saw a notable decline, falling below the neutral line.
This suggests that outflows have outpaced inflows, indicating a shift in investor sentiment. The decline in the CMF reflects an increase in selling activity as investors pull back from riskier positions while awaiting stronger bullish signals.
A drop in the CMF below the neutral line signals that Shiba Inu is facing stronger selling pressure. Without a reversal in the outgoing trend, the memecoin may struggle to move higher.
While long-term holders (LTHs) continue to support the coin, the lack of significant upside momentum could lead to short-term volatility.
Shiba Inu CMF. Fonte: TradingView
Price prediction
Shiba Inu experienced a 24% surge during intraday trading before a subsequent 7% drop today (2), placing its value at $0.00002872.
Despite today’s dip, the memecoin still shows significant upside potential if broader market conditions favor bullish trends.
In this regard, Shiba Inu missed a crucial opportunity to close above the resistance level of $0.00002976. Due to this, the coin is at risk of falling towards the support at $0.00002267.
Shiba Inu Price Analysis. Source: TradingView
However, if the broader crypto market maintains a bullish sentiment, the memecoin could break above the $0.00002976 resistance. A sustained uptrend could lead to a possible breakout above the $0.00003515 level, challenging the current bearish outlook.
Investors should stay updated on market trends to determine whether the asset can maintain momentum and invalidate the current bearish sentiment.
The post Shiba Inu (SHIB) Sees Outflows: How Will This Impact Price? appeared first on BeInCrypto.
