Shiba Inu (SHIB) Bounces from Reliable Support, but Bulls May Still be in Distress

  • SHIB was yet to overcome a vital resistance zone throughout November.
  • On-chain indexes show accumulation may not have started.

Shytoshi Kusama, Shiba Inu’s lead developer, revealed that the WEF (World Economic Forum) invited Shiba to discussions about the metaverse. Meanwhile, the alternative token gained 15.9% within the last three days.

Meantime, Bitcoin approached the resistance of $16.7K – $17K. Also, Ethereum witnessed some bullish actions lately, though its high timeframe outlook remained bearish.

As everything stood, purchasing & holding might be risky for market players targeting SHIB as an asset. Alts can suffer declines of up to 90%, so patience remains essential for individuals buying alternative tokens such as SHIB.

Crucial Resistance Unbeaten while Lower Timeframe Flashed Bullishness

The $0.0000094 has represented a crucial resistance within the past two weeks. Moreover, it stood as support (this month) before amplified activity by sellers flipped the zone to a hurdle.

While publishing this content, SHIB saw its price cross beyond the 21 & 55-period MAs. Meanwhile, the Simple Moving Averages printed a bullish cross, whereas the RSI (Relative Strength Index) moved beyond the 50-neutral.

The lower timeframe bias was bullish. Nevertheless, Shiba Inu’s market structure displayed weak bullishness. A move beyond $0.0000094 and a retest of the mark would cement the notion that buyers had substantial strength.

The daily chart exhibited a bearish market structure. The value area between $0.0000094 and $0.0000098 was a battleground for sellers and buyers. Winners here will determine whether SHIB will soar or plunge.

The OBV (on-balance volume) printed higher lows since November 21 before dropping dramatically during November sessions. Risk-averse buyers should beware that a flip of $0.0000094 to footing would still offer a risky purchasing opportunity.

That’s because buyers were yet to dominate the OBV. Moreover, Bitcoin didn’t flash reversal signals, meaning patience remained essential in the upcoming few days.

Meanwhile, flipping $0.0000094 to a foothold might launch another 10% increase to $0.0000104, presuming BTC maintained a neutral or bullish stance in that period.

Mean Coin Age Slumped Since August

The mean coin age index allows sentiment estimates of longer-term holders. A climbing slope indicated accumulation. Nevertheless, the mean coin age index maintained declines since August, along with Shiba Inu’s price.

Meantime. The network growth index witnessed a massive uptick during mid-November. Such upticks often follow massive bullish price action. Also, the supply by whale remained near all-time lows at 62%.

That means dip-pocketed market participants were yet to accumulate the meme coin. Buyers can wait for on-chain shifts towards bullishness before buying. A surge in whale supply or dips in exchange supply might suggest Shiba Inu accumulation.