The latest recovery signals in the crypto market can be seen as evidence of an impending bull run. Needless to say, skeptics remain confused about where certain crypto assets will be in 2, 3 and even 5 years. Popular memecoin Shiba Inu or SHIB is one such asset that continues to engage the community about its future. In fact, SHIB has now regained a market cap of $7.5 billion as a result of a dramatic price increase on the charts.
If SHIB ends the day positive tomorrow, it will be the fourth positive week in a row. The last time such a run occurred was in late September 2021, when Shiba Inu would finally hit its all-time high of $0.000088.
As of going to press, SHIB was trading at $0.00001549 after gaining 23% in the past 24 hours.
Let the game begin
Bull activity on Shiba Inu has long been anticipated by the SHIB military which continues to support the meme coin. Recently, SHIB was over 85% off its ATH. However, the aforementioned increase raised the mood around it. Much of the reason for the bull activity lies in the recent developments around Shiba Inu. There are high expectations in the community regarding the launches of Shibarium (Layer 2) and the Shiba Inu Financial Ecosystem (SHIBFE).
Like Ethereum, Shiba Inu also faces network congestion and high gas tariff issues. This further spotlights the launch of Shibarium as it aims to make transactions cheaper and faster. The Shibarium Public Beta TestNet is expected to launch this quarter. Meanwhile, the metaverse and Shiba Inu NFT ecosystem launches will be launched in the fourth quarter of 2022.
Here’s a data dive
According to WhaleStats, the top 2000 Ethereum whales have been actively making massive changes to their holdings. As of August 13, these whales owned more than $179.34 million worth of Shiba Inu. However, this does not tell us the whole story.
There has been a massive change in these holdings since August 3, when the holdings totaled $600 million. This represents the lost faith among the community’s whale market makers.
The top 2000 #ETH whales are hopping
Whale standings pic.twitter.com/TUe97NPMBb
— WhaleStats (free crypto whale data) (@WhaleStats) August 13, 2022
Despite the whale factor, there is a huge spike in profitability among SHIB investors. The MVRV ratio recorded a dramatic jump today, with the same value of 23.32% according to Santiment.
This can be further used to shed light on the increasing interest of short-term traders in Shiba Inu, with rising prices predicting rapid returns.
The other sign of active accumulation among traders right now is shown in the following chart.
Shiba Inu’s RSI has risen significantly in the past 12 hours. At the time of writing, it was above 90. This means the asset is in severely overbought territory. This could also mean a price recovery at some point in the near future. For now, however, Shiba Inu investors will enjoy the ride.