Shiba Inu: Potential 400% SHIB Surge as Bitcoin Trading Volumes Drop
The world of meme tokens has seen an eventful 24 hours, with meme-based cryptocurrencies dominating the list of top gainers.
Shiba Inu [SHIB], trading at $0.00001818 currently, has maintained its position at number 20, experiencing a notable 21% increase in trading volume over the past day, reaching $206 million. This surge has sparked speculation among experts about a potential 400% surge in SHIB’s value.
Typically, meme coins tend to show greater daily growth than Bitcoin as a market cycle reaches its conclusion.
This pattern aligns with a common trading approach where profits from Bitcoin are redistributed into high-cap meme tokens for the opportunity to achieve greater returns in a relatively low-risk setting.
A similar scenario unfolded during the September surge as Bitcoin was on the brink of a rejection at $65K.
During that period, amidst an overheated market, a significant amount of capital flowed into meme tokens, with SHIB alone recording a daily gain of over 20%, bolstered by a spike in trading volume that hit $13 trillion.
In essence, the 21% uptick in trading volume indicates a positive development, creating excitement in the market over the possibility of a 400% SHIB surge that could propel its value above $0.000020.
Essential Factors for a Promising SHIB Rally
Despite the rise in trading volume, there seems to be skepticism among traders regarding SHIB’s long-term growth prospects.
The prevailing market panic, driven by excessive greed surrounding Bitcoin, may have prompted many investors to divest their assets.
Nevertheless, if traders start viewing the current price of SHIB as a favorable buying opportunity despite the market conditions, they could help offset the selling pressure, similar to previous occurrences.
Currently, the momentum for a substantial SHIB surge appears to be lacking, as the Relative Strength Index (RSI) hovers in the neutral zone amidst growing doubt among traders.
This indicates that SHIB has yet to attract new traders, even as Bitcoin retraces after hitting $67K. The next move by Bitcoin is crucial; should BTC fall below crucial levels due to market overheating, the SHIB rally could pick up pace.
Therefore, a key indicator to monitor for a SHIB surge is a situation where the market becomes overheated, coupled with declining Bitcoin volume as investors take profits. Only then could a significant upswing in SHIB value become probable.
Based on CryptoCrypto’s analysis, if Bitcoin records a 20% drop in trading volume over the past 24 hours, this could potentially be a favorable moment for SHIB.
A potential bullish MACD crossover could occur soon. A decrease in Bitcoin activity in the days ahead might indicate a shift of profits into other assets. If this occurs, the SHIB rally could push its value to $0.000020 by the end of this cycle.