Shiba Inu price has jumped 5% in the past 24 hours, defying its recent downtrend of 5% over the last week and 20% in the past month. Currently, the token is maintaining an upward trend at above $0.00000093. This may be an early sign of a breakout, as some traders are optimistic that SHIB may soon show another zero off its price in case the momentum continues.
However, the crypto market is generally performing poorly, falling 1.07% over the past 24 hours and 7% over the past week as the U.S. Shutdown hits a record. The downturn of the market is caused by the tightening of liquidity, the reluctance of institutional investors, and the pressure of the derivatives market. Moreover, a serious liquidity crunch that has been caused by the Federal Reserve initiatives and Treasury measures has sucked out $500 billion of the markets.
Here’s Why Shiba Inu Price Could Erase Another Zero Soon
Shiba Inu price is showing promise, with some predicting that the token could soon reach a key milestone of $0.00001. Although the wider cryptocurrency market eyes recovery, the increase in the popularity of meme coins keeps fueling the interest in such tokens as SHIB, Dogecoin, PEPE, and Floki.
The fact that there is a possibility of recovering the crypto market is a key determinant in the development of SHIB. Despite the market being in a bearish state, the recovery of the large cryptocurrencies like Bitcoin (BTC), XRP, SOL, ADA, and ETH might benefit the whole industry, including meme coins like Shiba Inu.
The other important cause of price potential of SHIB is the current burn mechanism. The total amount of SHIB that has been burned is 3,045,550 in the past 24 hours, which made the supply of the coin smaller.
Moreover, an increased activity within the Shibarium blockchain layer is also increasing interest in Shiba Inu. In the process of further occurrences on this platform, the utility and attractiveness of SHIB may grow, which will further stimulate its price potential.
The derivatives of Shiba Inu have increased significantly. The volume of trading went up by 11% to stand at 116.94 million. Besides, the open interest increased by 6% to reach a total amount of $67.93 million. These values signify the increase in the activity and interest of the SHIB derivatives, which is a positive trend within the sphere of cryptocurrencies.
Could SHIB Price Reach $0.0001 Soon?
The SHIB price soared to $0.0000918, experiencing a notable surge in the past 24 hours. This uptick follows a period of consolidation, with the price breaking above critical resistance levels
The price of Shiba Inu has already broken through the resistance market at the level of $0.00009, and the next goal is the level of $0.000095. This is a critical level, and a break beyond it may indicate additional gains to $0.00001 in the near future.
As the memecoin recovers, the Shiba Inu price outlook for long term is bullish. A drop below this level, however, could lead to a correction and test lower support zones.
The Relative Strength Index (RSI) stands at 49, indicating that the asset is approaching neutrality. The MACD indicator is also displaying a positive trend, albeit slightly, meaning that it may continue moving in the same direction. As the MACD line crosses over the signal line, it adds more weight to the possibility of even more bullish price behavior.
