The Shiba Inu (SHIB) cryptocurrency has been gaining attention recently, with its network value to transactions (NVT) ratio playing a crucial role in determining its future price movement. Data from Glassnode indicates that Shiba Inu’s NVT has seen a significant increase, which could potentially lead to a price correction for the meme coin in the near future. This suggests that Shiba Inu might face some challenges in reaching its target price of $0.00003.
Additionally, another concerning metric for Shiba Inu investors is its correlation with Bitcoin, which has decreased significantly in recent times. Previously, Shiba Inu had a strong positive price correlation with Bitcoin, but this has dropped to 0.52, indicating a weaker connection between the two prices. Moreover, only about 51% of Shiba Inu holders are currently profitable, meaning there is a risk of significant sell-offs as the remaining 49% seek to break even at higher prices.
Despite these concerns, there are some bullish indicators for Shiba Inu that could help maintain its current upward trend and potentially prevent a price correction. One such positive sign is the increase in large transactions involving Shiba Inu, hinting at accumulation by crypto whales anticipating higher prices. Data from IntoTheBlock shows a rise of over 2% in large transactions over the last seven days, with a significant amount of SHIB being traded.
Crypto analyst Javon Marks has expressed optimism about Shiba Inu’s prospects, suggesting that the meme coin could surpass $0.00003 soon. Marks pointed out a macro Hidden Bullish Divergence in SHIB’s Relative Strength Index (RSI), signaling a potential recovery and continuation of its bull run. He expects Shiba Inu to reach $0.0000456 in the short term and potentially even break out to $0.000081.
As of the current moment, Shiba Inu is trading around $0.00001718, showing a modest increase of over 2% in the last 24 hours according to CoinMarketCap. While there are some concerns about potential price corrections due to the NVT ratio and Bitcoin correlation, there is also optimism surrounding Shiba Inu’s future price movements, with some analysts predicting significant gains in the near future. Investors will need to monitor these metrics closely to make informed decisions about their Shiba Inu holdings.
