Social data from Santiment suggests that traders expect Shiba Inu (SHIB), above other assets, to stage a recovery from the recent market correction.
Shiba Inu felt one of the biggest price impacts of the recent market reset following Bitcoin’s (BTC) ATH. Recall that BTC clinched a new all-time high above $69,000 on March 5 amid the latest bull run. However, the asset faced massive resistance at this price, leading to a slump.
The effect of this slump reverberated through the broader crypto market, leading to substantial losses. SHIB suffered some of the biggest declines, collapsing 40% from $0.00004218 to a low of $0.00002555 within seven hours on March 5.
The Crypto Basic revealed in a report yesterday that immense selling pressure contributed to Shiba Inu’s substantial decline. Despite recovering from the $0.00002555 low, Shiba Inu is still battling to conquer the $0.00003 price territory.
Investors Expect Shiba Inu Recovery
However, Santiment recently confirmed that traders remain bullish on Shiba Inu. According to the behavior analytics resource, social data indicates that market participants are more confident of a potential recovery from Shiba Inu and dogwifhat (WIF), another meme coin.
🗣️ After the rollercoaster 24 hours following #Bitcoin's new #AllTimeHigh and markets hitting the reset button, #ShibaInu and #DogWifHat are top assets traders are anticipating potential rebounds from. #Solana is seeing speculative #bullishness as well. https://t.co/eTxPJnuh3F pic.twitter.com/fMRLd6Y1J9
— Santiment (@santimentfeed) March 6, 2024
It bears mentioning that WIF has been one of the best performers in the recent market run, rallying by a massive 640% from $0.3068 on Feb. 23 to an all-time high of $2.27 on March 6. SHIB also witnessed a similar price run, skyrocketing by 378% within the same timeframe.
These assets leveraged the meme coin mania to record their substantial runs. Now, with the latest market-wide retracement triggering a price dip, investors are more confident in their potential to recover than other assets.
Reason Behind Sustained Optimism
For Shiba Inu, bullish mentions of “SHIB” have rocked the social environment in the crypto scene, data from Santiment confirms. According to Santiments AI summary, SHIB is trending as a result of discussions around procuring the asset and holding it for the long term.
In the bullish summary, Santiment noted that the primary reason behind the increase in SHIB mentions is the recent growth recorded by its price and market cap. As earlier stated, Shiba Inu rallied 378% from Feb. 23 to March 6.
Amid this surge, the asset’s market cap surged to $20.96 billion, its highest point since December 2021, allowing SHIB to enter the top 10. It bears mentioning that Shiba Inu’s market cap was a meager $5.22 billion as of Feb. 6. This means the cryptocurrency added $15.74 billion within a month.
This feat rejuvenated investor optimism in Shiba Inu, leading to sustained confidence in its potential resurgence. Meanwhile, SHIB is still down 14% over the past 24 hours, as it trades for $0.00003107. Despite the drop, the asset retains a 121% gain in the last week.
DisClamier: This content is informational and should not be considered financial advice. The views expressed in this article may include the author's personal opinions and do not reflect The Crypto Basic opinion. Readers are encouraged to do thorough research before making any investment decisions. The Crypto Basic is not responsible for any financial losses.
