The price of Bitcoin surpassed $30,000 earlier today and is now showing an upward trend as the US markets open. However, the king of crypto is struggling to maintain a critical threshold. On the other hand, Shiba Coin price erased one zero today, just like Bitcoin, which couldn’t hold above the critical threshold when the article was being prepared.
Why Did Shiba Coin Rise?
Today, the price of SHIB increased by approximately 5.75% to $0.00001005, continuing the upward trend that started two days ago. Overall, the price has risen by around 15% from its recent lowest level of $0.0000947. Much of these gains came on August 8, when BitPay, a crypto payment processing company, announced a new service called “Bill Pay,” which allows crypto users to pay their bills directly from their wallets.
Shiba Inu is one of the many tokens listed in a service that may have increased investors’ upward expectations on August 9. Additionally, the token has been positively affected by speculation about the approval of a spot Bitcoin ETF in the US. However, the claim that the approval will come on August 13, as they claim, does not seem logical. Moreover, when we look at the history of accounts that made these claims, we see that they have pumped various fake news on social media.
Shiba Coin Analysis
When on-chain data is examined, it can be seen that most of Shiba Inu’s richest addresses accumulated SHIB tokens during the price recovery of the past two days. Specifically, the address group holding 100 million to 1 billion SHIB has shown a modest increase since August 7, while addresses holding 1 billion or more, which account for 96.5% of the total circulating SHIB supply, remain horizontal.
From a fractal analysis perspective, Shiba Inu is currently trading near the levels that caused selling in the market. The resistance zone that needs to be overcome in the coming days is in the range of $0.00001052-$0.00001003. Since the price has not surpassed this zone for now, it appears to have retraced. The current outlook indicates that the upward trend may have ended, and investors may need to be cautious about a possible decline to $0.0000089. The $0.000008 support level is also among the possible targets if the selling continues.
On the weekly chart, the price of Shiba Coin indicates a potential correction. In particular, the inability to break the monthly descending trend line of $0.00001054 supports this possibility.
