Shiba Inu (SHIB) HODLers, who played a major role in Memcoin’s recent recovery, could spark a new rally. Let’s figure out why.
Over the past three days, a significant number of SHIB tokens have been withdrawn from exchanges, indicating high activity. In this regard, the price of Shiba Inu may rise above $0.000025. However, it is important that other metrics are consistent with this forecast.
Shiba Inu investors continue to walk
On November 23, Glassnode data showed an increase in the number of SHIB tokens on exchanges. This coincided with a price drop to $0.000024. However, over the past three days, Shiba Inu holders have withdrawn a total of 5.45 trillion tokens from exchanges. At the current price of the cryptocurrency, this amounts to about $162 million.
Typically, when more tokens are being supplied to exchanges than are being withdrawn, this means that the majority of holders are ready to sell. This may negatively affect the price.
Since most owners of the popular Shiba Inu memecoin are withdrawing assets from these platforms, they have no plans to sell anytime soon. If this trend continues, the price may soon rise.
Shiba Inu exchange flows. Source: Glassnode
IntoTheBlock data also shows that some short-term SHIB HODLers have been holding off on selling for the past 30 days. This data is based on the Balance by Time Held metric. When it rises, it means that the majority of owners are still holding the asset. If it falls, then most sell, and this is a bearish signal for the cryptocurrency.
If short-term holders of Shiba Inu continue to trade, the token should avoid significant drawdowns.
Shiba Inu balance by ownership time. Source: IntoTheBlock
SHIB forecast: price forms a bullish flag
On the daily chart, memcoin formed a bullish flag. This is a technical pattern that indicates a possible continuation of the uptrend. It begins with a sharp rise in price (“flagpole”), followed by a short-term consolidation in a narrow range (“flag”).
The pattern suggests that after the consolidation phase, the price is likely to go up. As you can see in the chart, SHIB seems to be following this pattern. If buying pressure increases, the token price could rise to $0.000030.
In the most optimistic scenario, the price could rise to $0.000032. However, if Shiba Inu holders decide to list more tokens on exchanges, the situation may change. Then memcoin could fall to $0.000020.
Stay informed! Subscribe to World Stock Market in Telegram.
Source: Cryptocurrency
I am an experienced journalist and writer with a career in the news industry. My focus is on covering Top News stories for World Stock Market, where I provide comprehensive analysis and commentary on markets around the world. I have expertise in writing both long-form articles and shorter pieces that deliver timely, relevant updates to readers.
