SHIB, ETH twerking as Reddit attributed buy calls look for new resistance level
After days of floundering in the red after Bitcoin fell below the $40k mark, the crypto market finally turned green once more. Naturally, many investors are wondering if now is a good time to stack some stats, collect some more diamonds, or add new dogs to their kennel.
Greener on the other side?
Santiment data showed that “buy” calls were seeing an uptick and attributed this to Redditors and the Reddit community’s crypto discussions. While Twitter has been seeing an increase in “buy” social trends since mid-April, they have been falling after that. However, calls on Reddit appear to be on the rise.
? #Buy calls appear to be slightly on the rise, and this largely looks to be attributed to #Reddit's increase in frequency on this topic. They have been having a notably higher ratio of buy calls, which are the highest since January. https://t.co/bH5qeLF7gj pic.twitter.com/d4u4tfFENJ
— Santiment (@santimentfeed) April 19, 2022
So, are investors walking the talk? Are coins and tokens actually leaving the exchanges and disappearing into the wallets of HODLers? Let’s look at one coin and one token: Ether [ETH] and Shiba Inu [SHIB]
The exchange supply for SHIB showed that tokens have been moving off the exchanges since about 11 April. This corresponded with SHIB’s rise in price on 12 April. To refresh your memory, this was close to the time Robinhood decided to finally list the much-loved meme coin.
Meanwhile, ETH has also been sliding off exchanges, albeit with a lot less drama and steep drops. There were fewer than 15 million ETH on exchanges at the time of writing, and the trend was continuing despite the top alt’s recovery in price.
On that note, let’s zoom in a little closer to see what the price indicators have to say. Looking at the Bollinger Bands on SHIB, we can see that the bands are moving closer together, which indicates a fall in volatility.
However, it’s key to remember that as a meme token, SHIB is more susceptible to shock changes – such as Elon Musk’s next puppy tweet.
On the other hand, Ether didn’t look so steady, as the Relative Volatility Index [RVI] came in close to 50. Values above 50 are meant to indicate buy signals, but for now, ETH still appears to be in a tenuous place, with a red candle forming at press time.