Shiba Inu (SHIB) price has closely followed the general market trend by forming red candles on the daily chart.
Shiba Inu investors suffered heavy losses
Shiba Inu prices have dropped nearly 40%, causing more damage than expected. One of the biggest blows was the billions of dollars in losses suffered by SHIB investors.
According to the Global In/Out of the Money (GIOM) index, nearly 424 trillion SHIBs worth more than $7.3 billion have fallen into losses. This supply is purchased in the price range from $0.00001700 to $0.00001900. When the meme coin dropped in price over the past month, it dragged this supply along with another 190 trillion SHIB into losses.
GIOM by Shiba Inu | Source: IntoTheBlock
However, investors are not discouraged by this loss and plan to regain their profits. Evidence for this can be found in the Mean Coin Age (MCA) index. This index measures the average age of all coins in the network, reflecting the time since they were last moved.
A high average coin age typically indicates a holding tendency, while a low age indicates increased trading activity. Since SHIB’s index is at a high level, meme coin investors seem to be holding on to their assets.
Shiba Inu MCA | Source: Santiment
This is a good sign because it shows that Shiba Inu investors have high confidence, which could help prices recover.
SHIB Price Prediction: Continued Consolidation
Shiba Inu price is likely to increase in the coming days, but this will be limited by resistance at $0.00002093. This is a level that has acted as support for SHIB several times before, but has now turned into resistance.
SHIB/USDT Daily Chart | Source: TradingView
SHIB will continue to consolidate below this level and needs strong bullish signals from the market to overcome.
Conversely, if the decline continues, the meme coin could drop to the next critical support at $0.00001473. A break of this level will completely invalidate the bullish-neutral thesis.
You can see SHIB prices here.
Disclaimer: This article is for informational purposes only, not investment advice. Investors should research carefully before making a decision. We are not responsible for your investment decisions.
SN_Nour
According to Beincrypto
