- SHIB was over 6% in the last 24 hours.
- Most market indicators turned bearish on the meme coin.
Shiba Inu [SHIB] has displayed an impressive performance. On the 9th of March, the meme coin trended at #1 via CoinMarketCap. But what does this upsurge mean for the token’s future direction?
Why is Shiba Inu trending?
Even though the world’s second-largest meme coin was trending on CoinMarketCap, its Social Volume and Weighted Sentiment plummeted, hinting at rising bearish sentiment at the time of writing.
Source: Santiment
The most likely reason for SHIB’s current trend seems to be its price action. Notably, over the last seven days, its value surged by 70%.
AMBCrypto had earlier reported how the uptrend allowed SHIB to re-enter the top 10 list of cryptos by market capitalization.
In the last 24 hours, SHIB was up by 6%. At press time, it was trading at $0.00003547 with a market cap of over $20 billion.
Thanks to the price uptick, over 75% of SHIB investors were in profit, as per IntoTheBlock’s data.
This is what metrics suggest
To see whether SHIB will continue its uptrend, AMBCrypto checked the Network Value to Transactions (NVT) ratio. We found that after a sharp uptick, the NVT ratio registered a slight decrease.
This usually suggests that an asset is undervalued, and indicates that the possibility of a continued uptrend is high.
Source: Glassnode
Whale activity around the meme coin was also high, as evident from the rise in its number of whale transactions.
The big players seemed to have increased their holdings as well, as the supply held by top addresses rose in the last seven days. However, investors at large did not buy SHIB actively during this time.
This was evident by SHIB’s supply on exchanges and supply outside of exchanges, both of which remained flat, reflecting less buying and selling activity.
Source: Santiment
To better understand where SHIB might head in the coming days, AMBCrypto took a look at its daily chart.
Notably, SHIB’s Chaikin Money Flow (CMF) registered a downtick, while the meme coin’s price had touched the upper limit of the Bollinger Bands at press time.
Read Shiba Inu’s [SHIB] Price Prediction 2024-25
Whenever such an incident happens, it suggests that selling pressure on an asset might go up, which can harm its price.
However, the MACD remained in the buyers’ favor as it displayed a bullish upper-hand in the market.
Source: TradingView
