The price of Shiba Inu has increased noticeably, and market participants are trying to understand whether this is another roller coaster or the beginning of sustainable growth for memecoin.
Over the past month, the price of the popular memecoin Shiba Inu has increased by 343.06%, and in the last 24 hours by almost 50%. This move is a strong signal for the market, but the question on every investor’s mind is whether SHIB can maintain its bullish momentum.
Shiba Inu MVRV Ratio Reaches 1.29
Just a week ago, Shiba Inu’s MVRV was a modest 0.5, an indication that on average HODLers are holding SHIB at a price below market value, suggesting the asset is undervalued or lacking investor confidence. The sharp rise in MVRV to 1.29 indicates a sharp change in market dynamics.
This jump indicates a strong increase in bullish sentiment among SHIB holders and signals a potential surge in speculative interest.
The MVRV ratio, which compares market capitalization (current price multiplied by circulating supply) with realized capitalization (the value of coins when they were last moved), reflects the profit and loss situation of the market.
The current ratio highlights that the majority of investors in SHIB can sell the token at a profit, which could lead to either profit-taking or an increase in investor confidence, which will have corresponding implications for the future price trajectory of Shiba Inu.
Major Players Still Hold SHIB
Currently, 58.31% of the total SHIB supply is in the hands of the largest addresses, down slightly from 59.55% just three days before. This slight decline comes amid a sharp rise in prices, but the data confirms that the largest players are maintaining their SHIB inventories.
Stability or growth in this indicator could indicate continued confidence among major market participants in the token’s potential, which could favor SHIB’s growth.
SHIB Price Prediction: 50% Growth Possible
The In/Out of Money Around Price (IOMAP) chart is a treasure map for SHIB traders, showing the key price levels at which addresses purchased their tokens. At the current price of $0.000035, most holders are in the money, which could provide strong support at this level.
If SHIB holds above $0.000039, it will bolster investor confidence, which could push the token towards the next resistance at $0.000045. If it is broken, the memecoin, Shiba Inu could continue to rise to $0.00006, which would represent a 50% strengthening in the coming weeks and bring the price closer to the ATH.
On the other hand, a fall below this key line could also remove SHIB’s support around $0.000035, where many addresses may decide to break even on their investments.
