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Shiba Inu Price Slips 4% as 3500% Burn Rate Surge Fails to Halt Correction

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1 month ago

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Shiba Inu price dropped 4% to $0.00001342 on Sunday, coinciding with Bitcoin falling below the $60,000 support level. This renewed selling pressure led to declines across major altcoins, impacting the meme cryptocurrency sector due to its inherent volatility and speculative trading nature. The sell-off caused SHIB to reverse from multi-month resistance, signaling a potential risk of a more significant correction ahead.

Shiba Inu Price Set for Bearish Reversal 

The Shiba Inu price prediction showcased sideways action throughout the week, struggling to surpass the $0.000014 barrier. Despite the recent market recovery, this consolidation market lacks buyers’ conviction to drive this asset.

Today, the SHIB price marks another failed attempt to breach the overhead trendline, displaying a long-rejection candle to highlight overhead supply. Interestingly, the selling momentum persists despite burning 40 million SHIB in the last 24 hours, leading to a 3500% spike in the burn rate.

Typically, such a large burn would reduce the circulating supply, potentially supporting price stability or even a rally. However, in this case, the ongoing correction trend suggests that market factors outweigh the impact of the burn, keeping the price under pressure.

Shiba Inu has seen a notable decline in Open Interest throughout August. According to Coinglass, SHIB’s Open Interest dropped from $37 million to $23.2 million, reflecting a decrease of approximately 37%. This substantial drop in OI suggests reduced market participation or liquidity for SHIB, potentially signaling waning investor confidence.

SHIB Futures Open Interest (USD) SHIB Futures Open Interest (USD)

Thus, the correction may push the Shiba Inu price by 30% to retest $0.0000095 at wedge pattern support.

This dog-themed meme coin trading below the daily Exponential moving average highlights the path to least resistance is down.

Shiba Inu PriceShiba Inu Price
SHIB/USDT Chart

However, the two converging trendlines of falling wedge patterns indicate a waning bearish momentum. Thus, SHIB price is poised for an upside breakout, which could signal an initial sign of trend reversal. 

The relative strength index (RSI) bounced from oversold to 35%, accentuating the demand pressure at a discounted value.

The post-breakout rally may push the asset 50% to hit $0.00002.

Frequently Asked Questions (FAQs)

The ongoing correction trend and broader market factors outweighed the impact of the 40 million SHIB burn, leading to a 4% price drop.

The 37% drop in Open Interest suggests reduced market participation and waning investor confidence in SHIB, contributing to the price decline.

The falling wedge pattern indicates a steady correction, but it also signals a potential upside breakout, which could lead to a trend reversal.

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Sahil Mahadik

Sahil is a dedicated full-time trader with over three years of experience in the financial markets. Armed with a strong grasp of technical analysis, he keeps a vigilant eye on the daily price movements of top assets and indices. Drawn by his fascination with financial instruments, Sahil enthusiastically embraced the emerging realm of cryptocurrency, where he continues to explore opportunities driven by his passion for trading

Disclaimer: The presented content may include the personal opinion of the author and is subject to market condition. Do your market research before investing in cryptocurrencies. The author or the publication does not hold any responsibility for your personal financial loss.





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APT token

Can Aptos Price Hit $10 Following Stacks Integration of BTC into APT Protocol?

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1 day ago

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September 17, 2024

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Aptos (APT) price, a layer 1 cryptocurrency, is currently exhibiting an upward trajectory in its market trends. The APT price movement has entered a bullish phase, showing a noticeable recovery recently. This resurgence comes on the heels of an announcement regarding Bitcoin integration, which promises to spur innovation within the Layer 2 protocol. 

Aptos Price Surges Following BTC Integration Announcement

Aptos price might see new interactions as the Aptos Foundation has teamed up with the Bitcoin Layer 2 protocol, Stacks. This partnership introduces Bitcoin into the Aptos environment. 

Through this integration, Bitcoin will be accessible in various decentralized applications and for other purposes on the Aptos network. Aptos utilizes the Move programming language, which is known for its flexibility and security.

This collaboration is poised to foster developers’ innovative uses of Bitcoin. Stacks, known for enabling smart contracts on Bitcoin’s secure base layer, is preparing to launch Nakamoto and BTC. These releases are expected to enhance transaction speeds and guarantee that Bitcoin secures transactions. 

Stack is a leader in market capitalization and developer engagement among Layer 2 solutions. It seeks to leverage Bitcoin’s vast passive capital, valued at about $500 billion, making it a programmable and active financial asset.

APT Price Eyes 70% As Bullish Gain Momentum

The Aptos price has risen significantly by 4.50% over the past 24 hours. At the time of writing, the APT price hovered at $6.00. During this period, the price ranged from a low of $5.67 to a high of $5.95, indicating strong market activity. This positive momentum shows continued interest in Aptos, with its current price performance reflecting an upward trend.

The Relative Strength Index (RSI) is showing a slight recovery. With an RSI value of 44, the market is still below the 50-point neutral line, indicating a slightly bearish or neutral market sentiment at present.

Can Aptos Price Hit $10 Following Stacks Integration of BTC into APT Protocol?Can Aptos Price Hit $10 Following Stacks Integration of BTC into APT Protocol?
Aptos Price Chart: Source| TradingView

According to Coinglass data, the Aptos price has experienced a notable shift. The total volume saw a decline of 31%, bringing it to $122 million. Open interest, which measures the total number of outstanding derivative contracts, has increased by 5%, reaching $95.90 million. Meanwhile, both options volume and open interest highlight ongoing activity in the Aptos derivatives market. 

Can Aptos Price Hit $10 Following Stacks Integration of BTC into APT Protocol?Can Aptos Price Hit $10 Following Stacks Integration of BTC into APT Protocol?
Source- Coinglass

The Layer 1 crypto is currently encountering resistance at the $6.10 mark. However, if it manages to breach the critical $7 threshold, this could trigger a notable upward trend. Analysts are eyeing the next targets at $9 and possibly $10, which may signal strong buying momentum. Market participants closely watch these levels, as a successful breakthrough could lead to sustained bullish action.

Frequently Asked Questions (FAQs)

Stacks is a Layer 2 solution that enables smart contracts on Bitcoin’s blockchain. Its integration allows Bitcoin to be used on Aptos, unlocking new possibilities for developers.

The integration of Bitcoin into Aptos enhances its decentralized applications (dApps) and expands its market reach by leveraging Bitcoin’s liquidity and security.

Analysts suggest Aptos could reach $10 if it breaks key resistance levels, especially if the bullish momentum continues.

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Coingape Staff

CoinGape comprises an experienced team of native content writers and editors working round the clock to cover news globally and present news as a fact rather than an opinion. CoinGape writers and reporters contributed to this article.

Disclaimer: The presented content may include the personal opinion of the author and is subject to market condition. Do your market research before investing in cryptocurrencies. The author or the publication does not hold any responsibility for your personal financial loss.





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Experts Call For $0.001 SHIB, But Can Shiba Inu Price Defy This Bearish Pattern?

Published

2 days ago

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September 17, 2024

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Shiba Inu price has been consolidating for most of the last months following the August 5 crash. There was a price outburst around August 20, but it was quickly quelled, and the asset dropped back into its range. Several crypto analysts think SHIB price is about to rip to $0.001, but is this truly the case? Technical analysis may tell a different story. 

Why Experts Think Shiba Inu Price is About to Surge

Over the past seven days, two analysts have predicted Shiba Inu price increase to $0.001. Krao shared a chart showing that the asset was currently consolidating and forecasted that at the end of the consolidation, SHIB would quickly delete two zeros.

shib

LuckSide, another analyst, has also projected that the SHIB price could surge to $0.001 as all factors are aligned for this rally. Some of his reasons for the bold prediction include whales acquiring 3 trillion SHIB in the last two days as large investors pulled out $4 million worth of SHIB from exchanges.

Will SHIB Price Rise Anytime Soon?

While Krao and LuckSide have merits in their analysis, there is reason to believe that the Shiba Inu price may not rise soon. Firstly, even though whales accumulating is a bullish sign, it doesn’t always translate to a number-go-up, especially when the charts tell a potential drop may be coming soon.

Moreover, Krao analyzes the data on a monthly timeframe, making the surge appear likely to happen sooner rather than later. This could be misleading, as shorter timeframes indicate a potential sell-off is imminent.

According to the Shiba Inu price 4-hour chart, there is a different story. The price action has formed a month-long head and shoulders, a bearish reversal sign. After the August 5 crash, crypto prices began surging as investors bought the dip. This H&S shows that the market decline is not over yet.

SHIB price currently has support at $0.00001280, which, if broken, could lead to an 18% drop, setting the price at $0.00001000. Conversely, SHIB price prediction shows if the meme coin bounced off the support, it could rally to the top of the range ($0.00001440) before trying to break out.

Shiba Inu Price
Shiba Inu Price Analysis Chart

The Federal Open Market Committee (FOMC) will be meeting tomorrow to make the decision on the U.S. interest rate cuts. This data will adversely affect the crypto market, including the SHIB price. Investors await a 25bps or 50bps, but there is still much uncertainty.

If Fed Chair Jerome Powell fails to cut rates, it may signal bearish sentiment, which could be the final nudge that pushes Shiba Inu below $0.00001280.

Frequently Asked Questions (FAQs)

Several analysts, including Krao and LuckSide, have forecasted a possible surge in Shiba Inu’s price to $0.001. They cite factors such as consolidation in price action and recent accumulation by whales. LuckSide highlighted that large investors have acquired 3 trillion SHIB in the past two days, suggesting that the demand could trigger a rally.

No, despite the predictions from analysts, there is no guarantee that Shiba Inu’s price will rise soon. Technical indicators, especially on shorter timeframes, show bearish patterns like the head and shoulders formation, which could result in a price drop.

The upcoming FOMC meeting could influence the entire crypto market, including SHIB. Investors are anticipating a possible U.S. interest rate cut of either 25 or 50 basis points. If the Federal Reserve Chair, Jerome Powell, chooses not to cut rates, it could spark a bearish sentiment in the market, potentially pushing SHIB below the $0.00001280 support.

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Evans Karanja

Evans Karanja is a crypto analyst and journalist with a deep focus on blockchain technology, cryptocurrency, and the video gaming industry. His extensive experience includes collaborating with various startups to deliver insightful and high-quality analyses that resonate with their target audiences. As an avid crypto trader and investor, Evans is passionate about the transformative potential of blockchain across diverse sectors. Outside of his professional pursuits, he enjoys playing video games and exploring scenic waterfalls.

Disclaimer: The presented content may include the personal opinion of the author and is subject to market condition. Do your market research before investing in cryptocurrencies. The author or the publication does not hold any responsibility for your personal financial loss.





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Markets

Ethereum price drops to a 41-month low against Bitcoin

Published

2 days ago

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September 16, 2024

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Ethereum continued its freefall against Bitcoin, falling to its lowest level since April 2021. It has dropped by over 55% from its highest point in 2021.

Ether’s sell-off is accelerating

Ethereum (ETH) was trading at 0.039 BTC, down by 24% this year and by 35% from the year-to-date high. It has also dropped against other cryptocurrencies like Solana (SOL), Binance Coin (BNB), and Tron (TRX). 

The same has occurred in US dollar terms, with the coin dropping for four consecutive months, now trading near $2,300 which is its lowest point since February.

Ethereum’s sell-off is likely due to the weak response from institutional investors, who have largely avoided spot ETFs. Data shows that Ether ETFs have had net outflows of over $581 million. They currently hold $6.62 billion in assets, much lower than spot Bitcoin funds, which have over $54 billion and have had net inflows of $18 billion.

Ether has also declined due to recent liquidations by the Ethereum Foundation and Vitalik Buterin. Buterin has sold tokens worth $2.2 million, while the foundation has sold 350,000 coins.

Most importantly, there are concerns that Ethereum is losing market share to layer-2 networks like Base, Arbitrum, Polygon, and Blast, which are known for faster speeds and lower transaction costs than Ethereum.

Additionally, there are signs that many smart money investors are selling the coin. For example, one investor sold ETH worth almost $10 million in the last 24 hours, as shown below.

Nansen smart money
Ethereum smart money sales | Source: Nansen

Another top entity that sold its Ethereum assets was Jump Trading, one of the top players in the crypto industry. According to Nansen, its total Ether holdings dropped from over $531 million in July to zero. 

Jump Trading assets
Jump Trading assets | Source: Nansen

Ethereum has more downside in BTC terms

Ethereum to Bitcoin
Ethereum to Bitcoin price | Source: TradingView

The ongoing Ether sell-off began after it formed a triple-top chart pattern around the 0.088 level between May 2021 and September 2021. The coin then dropped below the pattern’s neckline at 0.049 on May 20 of this year.

It also formed a death cross pattern in April, as the 50-week and 200-week moving averages crossed each other.

The Relative Strength Index has retreated and retested the oversold level of 30, signaling strong downward momentum. Therefore, the path of least resistance for Ether is downward, with the next reference point being 0.0224, which would represent a 42% drop from the current level.



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