Shiba Inu (SHIB) has staged an impressive comeback, gaining 10% since August 19, 2024. Whales have shown significant interest in the meme coin during this recovery rally.
The recovery coincided with the recent launch of the Shiba Eternity game on the Shibarium network. However, the rally hit a short-term supply at the 61.8% Fibonacci retracement level.
Can SHIB Bulls Maintain the Momentum?
After a massive dump on August 5, SHIB traded sideways between the 61.8% ($0.000014) and 78.6% ($0.000012) Fibonacci levels. The recent recovery reached the short-term range-high at $0.000014.
This could trigger another sell-off, as seen in the past. Rising RSI and CMF indicate surging demand and buying pressure.
However, demand interest in SHIB remains below average, making it challenging to cross the $0.000014 resistance. If Bitcoin’s price consolidation below $61,000 extends, SHIB may follow suit.
Whale Transactions Drive SHIB’s Recovery
The August 5 plunge saw a sharp accumulation spree, as indicated by the uptick in Supply Outside of Exchanges. SHIB’s supply on exchanges hit record lows, a bullish signal.
However, SHIB’s Weighted Sentiment has turned negative, suggesting speculators expect no further upside in the short term. If so, the current sideways structure could extend.
Tracking whale action offers insights into SHIB’s next price move. According to IntoTheBlock data, the recent weekly recovery was partly initiated by large transactions.
Whales made an average of 50 daily large transactions worth over $20 million per day. In short, whales drove the recovery.
Future Price Predictions
Analysts are divided on SHIB’s trajectory. Some forecasts suggest that if SHIB maintains momentum and breaks the $0.000014 resistance, it could see further gains.
However, if Bitcoin’s price remains stable below $61,000, SHIB may struggle to maintain its current levels. Predictions for SHIB’s price range from lows around $0.0000111 to highs of approximately $0.0000234 by the end of 2024.
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In conclusion, while SHIB has shown resilience with a recent recovery, extending this momentum will depend on overcoming key resistance levels and improving market sentiment. Investors should closely monitor whale activity and broader market trends to gauge potential future movements.
