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HomeCrypto NewsMarketAnalyst Believes Shiba Inu Accumulation Phase is Ending, Predicts Spike to $0.000045

Analyst Believes Shiba Inu Accumulation Phase is Ending, Predicts Spike to $0.000045

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Crypto Sheriff suggests Shiba Inu accumulation phase is close to an end, pointing to a potential bull run to $0.000045 as RSI indicates an oversold condition.

Shiba Inu (SHIB) has recently experienced notable market activity despite a 7.50% decline in the past 24 hours. The token currently trades for $0.00001568. The meme coin’s accumulation phase continues, hinting at a potential end to this consolidation period. 

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Market analyst Crypto Sheriff highlights that SHIB remains in an accumulation phase after a significant 5X rally. This period involves reduced volatility, where traders consolidate positions. 

Further, supporting the sentiment, the Relative Strength Index (RSI) for SHIB is currently at 25.04, per Sheriff’s post, which is below the standard oversold threshold of 30. An RSI this low suggests that SHIB might be oversold, indicating potential exhaustion of selling pressure and a possible price reversal.

Crypto Sheriff believes that SHIB may be nearing the end of its accumulation phase, potentially leading to increased price action. Historically, such phases can precede bullish trends as buying momentum builds up. The analyst’s chart suggests a possible recovery toward the yearly high above $0.000045

Ownership Distribution and Accumulation

Notably, Shiba Inu’s ownership details reveal substantial inflows and outflows among large holders. Inflows peaked around 7.5 trillion SHIB. Similarly, outflows show significant variation, with a peak of around 7.5 trillion SHIB. This large holder activity indicates that prices tend to rise with higher inflows and drop with higher outflows.

Shiba Inu Ownership Metric IntoTheBlock
Shiba Inu Ownership Metric | IntoTheBlock

During this press, the Relative Strength Index had climbed to 42.54, placing it in the neutral zone but still trending towards the oversold region. Meanwhile, the Accumulation/Distribution value stands at -800.421T, still reflecting a declining trend. 

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The combination of these indicators further points to a market currently dominated by selling pressure. However, the imminent oversold RSI hints at the possibility of a reversal should investor sentiment shift towards buying.

SHIB Weekly Chart
SHIB Weekly Chart

Recent Market Movements and Whale Activity

Amid SHIB’s recent market turbulence, a new whale wallet has accumulated over 583.7 billion SHIB tokens from Binance, according to The Crypto Basic. This accumulation comes as SHIB’s price plummeted 45.87% from its May 29 high of $0.00002945, now trading at a 19-week low. 

Despite the decline, some market participants view this downturn as a buy-the-dip opportunity. The 583.7 billion SHIB procured from Binance costs $9.725 million. At the May 29 high, the same amount would have demanded $17.192 million, a difference of $7.4 million.

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.

Author

Mark Brennan
Mark Brennanhttps://thecryptobasic.com/
Mark Brennan has been active in the cryptocurrency sector since 2014. His love and passion for the nascent industry drove him to develop interest in writing about important developments and updates about cryptocurrencies and blockchain. Brennan, who holds a Masters degree in Business Administration, learned about the potential of blockchain technology. Aside from crypto journalism, Brennan runs an education center, where he educates people about the asset class.

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