Shiba Inu awaits a golden cross: A signal for you to buy SHIB today?

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  • Shiba Inu has defended the fair value gap and is likely to retest the nearby resistance.
  • The lack of accumulation could delay bullish efforts.

As a seasoned crypto investor with a knack for spotting trends and understanding market dynamics, I find myself intrigued by Shiba Inu [SHIB]. The token has shown promising growth in the past month, but it’s been playing catch-up with Dogecoin [DOGE].

In the last 24 hours, Shiba Inu (SHIB) rose by approximately 3.5%, and over the past month, it increased by around 12.2%. Unfortunately, its growth couldn’t keep pace with Dogecoin [DOGE], which saw a significant surge of nearly 24% within the same period, making it the top meme coin in terms of market capitalization.

The token’s price was hovering below a level of resistance, yet optimistic forecasts are on the horizon for the following weeks and months.

The Shiba Inu golden cross could herald the next uptrend

The Awesome Oscillator indicated a surge in positive momentum for Shiba Inu, suggesting a bullish trend. The overall setup on the daily graph was likewise optimistic. Additionally, trading activity surpassed the levels seen in September.

The fact that the price approached the resistance level at $0.00002 was a promising development. Yet, the On-Balance Volume (OBV) remained close to the minimum points seen in August and September. For a powerful breakout to occur, there needs to be an increase in buying activity.

The golden cross refers to an event where the short-term (50) and long-term (200) moving averages intersect in an upward direction, suggesting a bullish trend. Currently, this situation is not happening. However, when it does happen for Shiba Inu, it might signal to traders that the cryptocurrency is poised for a significant price increase.

Challenges for SHIB bulls

In simpler terms, the trend of the prices and their speed (momentum) indicated a strong upward movement, yet the number of purchases remained low. This pattern was also observed in the average age of the coins. Since September, there has been a consistent decline, suggesting that many people were selling off their holdings across the network.

Read Shiba Inu’s [SHIB] Price Prediction 2024-25

Furthermore, the recent profits experienced by short-term investors could encourage them to offload their Shiba Inu (SHIB) tokens. This might postpone the price surge surpassing $0.00002, as these sellers seek to realize their gains.

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2024-10-18 20:07