Shiba Inu's 1.22% Price Surge to $0.00000736: Key Insights for September 23, 2023
Popular meme coin Shiba Inu (SHIB) saw a moderate 1.22% price increase over the past 24 hours. As of Saturday, September 23, 2023, SHIB is trading at $0.00000736, up from $0.00000726 yesterday. With a market capitalization of $4.33 billion, SHIB remains one of the top 15 cryptocurrencies by market cap.
In this technical analysis, we'll analyze the key metrics behind SHIB's price action and uncover insights into where the meme coin may be headed next.
Summarizing the Data Behind SHIB's Recent Performance
In addition to the 1.22% 24-hour price increase, SHIB saw $48.08 million in trading volume over the past day. This points to relatively healthy trading activity behind the price uptick.
Zooming out further, SHIB has declined 0.85% over the past 7 days. The meme coin hit lower highs throughout the week, failing to break out above $0.000008.
Over the past month, SHIB has dropped 10.46% as part of a broader declining trend since hitting an all-time high of $0.00008845 in late October 2021. The 6-month decline is even steeper at 32.35% as hype from the massive rally has cooled off.
SHIB Showing Signs of Bottoming Out
While SHIB remains firmly in a downtrend over the past 6 months, there are early signs that the meme coin may be bottoming out around the $0.000007 level.
SHIB appears to have found support around $0.0000068, bouncing back up from that level multiple times over the past few weeks. This indicates buying interest coming in around that price range.
Additionally, SHIB's relative strength index (RSI) is hovering in the low 40's on the daily chart. An RSI below 30 is usually considered oversold territory, while above 70 is overbought. SHIB's current RSI positioning hints that seller exhaustion may be setting in after the prolonged downtrend.
What's Ahead for SHIB Over the Next Year
Given the recent stabilization signs, I predict that SHIB will consolidate between $0.000006 and $0.000009 over the next 3-6 months. This would give the meme coin time to establish a sturdy base before making another potential upside move.
Looking further out, if bullish sentiment returns to the market in 2023, SHIB has upside potential back up towards its all-time high around $0.00009.
Key factors that could spur a SHIB rally include renewed retail hype, Shiba Inu ecosystem growth, and overall appetite for high-risk assets returning. However, significant macro uncertainty remains that could limit major upside for SHIB in 2023.
Can Shiba Inu Reach $0.01 Long-Term?
For SHIB to reach $0.01, its market capitalization would have to surge over 2,600x from current levels to over $11 trillion. This is highly improbable in the foreseeable future, as it would require SHIB to become larger than Bitcoin and Ethereum combined.
While prices above $0.01 seem out of reach, SHIB does have long-term growth potential from current levels if it can build utility and see renewed speculative buzz. But expectations need to remain measured for the dog-themed crypto asset.
Is Now a Good Time to Buy Shiba Inu?
With SHIB appearing oversold after declining over 80% from its peak, is now a good time to buy the dip?
Dollar-cost averaging into a small SHIB position can make sense for risk-tolerant investors. This reduces exposure to volatility.
However, limitations like a lack of utility and massive circulating supply remain a long-term concern. Investors should be cautious not to over-allocate to SHIB and closely manage risks.
In summary, SHIB shows signs of bottoming out after a brutal bear market. While major upside appears unlikely in the near future, savvy crypto investors may want to nibble on this meme coin if they have a high tolerance for risk. But moderation and realistic expectations are key for any SHIB position.
