Shiba Inu price peaked at $0.000026 on May 16, but with the Gamestop rally spurring bullish retail activity across the memecoin market, can SHIB sustain the upward momentum?
SHIB Price Surges amid Memecoin Mania
The Gamestop (GME) saga from 2021 saw large institutional investors book billions of losses amid a coordinated rogue retail demand frenzy. Lingering nostalgia from that landmark event has bled into the crypto memecoin market this week.
Shiba Inu (SHIB) price now also looks set to join the memecoin mania with a potential parabolic breakout.
At the time of publication on May 16, SHIB is exchanging hands at $0.000025 apeice, having recorded a 20.77% surge in the last 3 trading days. The SHIB price uptrend above aligns with growing bullish sentiment surrounding the global memecoin market.
Since the Gamestop fanfare broke out around May 12, the memecoin market has witnessed significant capital inflows. The likes of Dogecoin (DOGE) and Dogwifhat (WIF) have scored double-digit gains, while PEPE has raced to a 90% rally for the month, breaking new all-time highs on May 14.
SHIB Trading Volume Skyrockets $155M as Bulls Eyes Further Upside
In further affirmation of Shiba In’s bullish outlook, on-chain data shows investors have rapidly piled on additional capital into the SHIB markets this week.
Santiment’s trading volume chart below tracks the dollar value of daily transactions involving SHIB on a given day.
Shiba Inu investors traded $18.9 million worth of SHIB at the start of the week on May 12. But according to the chart above, that figure has now surged to $174.5 million worth of trades executed on May 16.
This $155 million increase in trading volume represents almost a 1,000% spike in SHIB spot markets activity between May 12 and May 16, far exceeding the price growth of 20.77% during the same timeframe.
When increase in trading volume outpaces price growth during a rally, it signals a high tendency for a prolonged upward movement. First, the increased market liquidity allows profit-takers to exit without impeding the rally, while also underlining increased capital inflows.
Also, SHIB’s gains in May 2024 still currently pale in comparison to the likes of PEPE and DOGE. In effect, strategic new entrants could consider Shiba Inu price has undervalued, and move to pile on additional positions in anticipation of another leg up in the days ahead.
SHIB Price Forecast: $0.000030 Target Now in Focus
Shiba Inu price is currently hanging above the $0.0000025 support by a thread at the time of writing on May 16. However, with the $155 million growth in trading volume and bullish sentiment surrounding the global memecoin market, SHIB price is likely to advance towards $0.000030 in the days ahead.
In terms of short-term resistance roadblocks ahead, the upper-limit Bollinger band indicator indicates the bulls could struggle breaking past the $0.000026 level.
But if that resistance caves, it will likely trigger a rapid breakout above $0.000030 as predicted.
And on the contrary, in the event of a market downturn, bulls could mount an initial support buy-wall at the $0.000022 level.
Disclaimer: 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’s opinion. Readers are encouraged to do thorough research before making any investment decisions. The Crypto Basic is not responsible for any financial losses.
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