Disclaimer: The information presented does not constitute financial, investment, trading, or other types of advice and is solely the writer’s opinion.
- Shiba Inu crossed the $0.00001 resistance level, as buyers reigned supreme.
- Spike in social dominance could bring new eyeballs to SHIB, leading to more gains.
Shiba Inu [SHIB] smashed the $0.00001 resistance level for the first time since April. Throughout Q2 2023, SHIB suffered low trading volumes which saw its price action maintain a sideways structure.
Read Shiba Inu’s [SHIB] price prediction 2023-24
The recent interest in SHIB could be based on the hype surrounding the release of Shibarium, Shiba Inu’s native blockchain. The launch of its own blockchain will unlock new utilities for SHIB, which could potentially lead to more investors.
Shiba Inu’s price action looks like an attempt by traders and investors to position themselves for a significant bullish upswing.
Bulls finally clear $0.00001 roadblock
Source: SHIB/USDT on Trading View
Shiba Inu’s spike in trading volume at the beginning of August revived hopes of the memecoin registering notable gains. This was reflected in the 23% gains SHIB recorded between 5 – 6 August.
However, the $0.00001 resistance stood firmly in the way of bulls, leading to a pullback to $0.000009. The price rejection was short-lived, as rising social sentiment saw the memecoin clear the $0.00001 hurdle on 11 August.
With a newfound support level for bulls, SHIB has continued to trend higher with price edging closer to the $0.000011 resistance. The on-chart indicators showed a strong possibility of the extension of the bullish rally.
The Relative Strength Index (RSI) climbed into the overbought zone and stood at 74, as of press time. This revealed the active buying pressure backing Shiba Inu’s latest rally. Likewise, the On Balance Volume (OBV) trended upward to signal rising demand for SHIB.
Consequent to the bullish price action, a session close above the next resistance level at $0.000011 will firmly set bulls on course to reach its year high of $0.000015. On the flip side, a pullback at the level could lead to a short-term price range between $0.00001 to $0.000011.
Rising social dominance could attract new investors
Source: Santiment
Realistic or not, here’s SHIB’s market cap in BTC’s terms
Shiba Inu’s social dominance spiked over the past 24 hours. This could be based on a tweet by a leading Shiba Inu developer that Shibarium could be launched before the end of August.
Similarly, the 90d Mean Coin Age maintained its ascent, hinting at an accumulation of Shiba Inu. With social dominance a key metric for memecoins’ price action, Shiba Inu could witness more explosive price action in the coming days.
