In March, Shiba Inu (SHIB) embarked on a promising trajectory, reaching new highs for the year. However, this momentum was short-lived, as the meme coin encountered corrections and subsequent recovery. Despite these fluctuations, SHIB finds itself at a critical juncture in its price action, with indicators suggesting a potential rally.
Shiba Inu Whales: Steadfast Accumulation
Amidst a 30% correction earlier in the month, large wallet holders remained undeterred, continuing to amass SHIB. Over the course of a month, these whales accumulated over 11 trillion SHIB, bolstering their holdings by $337 million. Given SHIB’s reliance on whale activity, their actions wield significant influence over its price dynamics.
Shiba Inu Whale Accumulation. Source: Santiment
Moreover, retail investors also demonstrate conviction in SHIB, as evidenced by active addresses. Presently, over 80% of active addresses are held by investors awaiting profits or losses, with only 18% currently in profit. This suggests that selling pressure from SHIB holders is minimal, providing a strong foundation for potential price increases.
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Shiba Inu Active Addresses by Profitability. Source: IntoTheBlock
Bullish Signals: Anticipating Momentum
Following a recovery of more than 28%, SHIB has reclaimed support at $0.00003000. Several indicators point towards a bullish outlook for SHIB. The Moving Average Convergence Divergence (MACD), a momentum indicator, teeters on the brink of signaling a bullish crossover. If this occurs, SHIB could ascend, potentially reaching year-to-date highs of $0.00003599, thus setting new records for 2024.
SHIB/USDT 1-day chart. Source: TradingView
However, a breach of the $0.00003000 support level could precipitate a decline to $0.00002855. Further descent below this level, specifically below $0.00002500, would invalidate the bullish thesis.
Related article: Shiba Inu: March Surge Sets Stage for April Anticipation
Shiba Inu (SHIB) stands on the brink of a significant rally, supported by the steadfast accumulation of whales and a resilient stance from retail investors. Bullish indicators, including the potential MACD crossover, signal an impending upward movement for SHIB.
However, the retention of the $0.00003000 support level is crucial for maintaining this bullish momentum. As SHIB navigates these critical junctures, investors remain poised for potential gains in the meme coin’s price.
