Shiba Inu Comes Closer to 50-Day Trend Resistance as Whale Holdings Reach $2 Billion

item picture

Arman Shirinyan

Shiba has reached significant resistance that it has to break to continue the current rally

Content

Shiba Inu continues his Recovery path that began on December 20 and is not reaching a growth of more than 30% in recent days. But growth could end if the asset doesn’t break through this technical resistance.

Exponential moving average of 50 days

One of the first significant resistances on the Shiba Inu path is the 50-day exponential moving average, which is the average movement of the asset over the past 50 days. Whenever the price is trading above the line, its movement is considered bullish.

Shiba Inu Graphic
Fountain: TradingView

If the price only reaches the aforementioned line, it could act as a resistance point as it is the point that determines whether an asset changes its medium-term trend or not. In Shiba’s case, the 50-day EMA previously sent it into a short-term deep correction state that resulted in a 25% loss.

Whale Support Rally

According to data provided by WhaleStats, the USD value of whale level stocks has reached $ 2 billion. The last time whale-level portfolio holdings reached the same number was before the 70% correction that took place in Shiba Inu from late October to December 20.

WhaleStats data
Fountain: WhaleStats

After the first signs of recovery appeared on the Shib chart, the large Ethereum wallets began to provide enough purchasing power to further support the rally. Shiba Inu token purchase volume has reached over $ 100 million during the initial days of the recovery rally.

At press time, Shiba Inu is trading at $ 0.00003841, just above the 50 EMA resistance which, so far, does not indicate that the asset has successfully broken through. Resistance could be considered violated as soon as the token seals above the line and trades for at least a couple of days without constantly touching it.

Source: https://u.today/shiba-inu-comes-closer-to-50-day-trend-resistance-as-whale-holdings-reach-2-billion

Leave a Reply

Your email address will not be published. Required fields are marked *