SHIB Analysis: Price Holds Steady as Whale Activity Stabilizes

The price of Shiba Inu (SHIB) has decreased by 10% in the past seven days, but it is still the second largest meme coin on the market, only behind Dogecoin. Despite the recent adjustment, SHIB's RSI has been steadily increasing, indicating that buying momentum is improving and there may be a change in market sentiment.

Whale activity has stabilized after a brief decline, suggesting a pause in both accumulation and distribution, which could lead to short-term price consolidation. As SHIB trades within a defined range, breaking through a key resistance level could open up an opportunity for a 29.5% increase.

RSI is currently neutral but rising

The Relative Strength Index (RSI) of Shiba Inu is currently at 52.6, a significant increase from 41 just two days ago. This increase reflects a notable shift in market sentiment, with buying momentum increasing after a relatively weak period. The RSI is currently in the neutral zone, indicating that neither buyers nor sellers have overwhelming control. However, the upward movement suggests that conditions are improving for SHIB's price in the short term.

RSI, a momentum oscillator indicator, measures the speed and magnitude of price changes on a scale from 0 to 100. Values above 70 indicate overbought conditions, which may lead to price corrections, while values below 30 signal oversold conditions, often preceding a recovery.

With Shiba Inu's RSI at 52.6, the coin is in a balanced range, allowing for upward movement if buying pressure continues to increase. However, the neutral RSI also implies that the price may stabilize unless a strong catalyst drives momentum in a particular direction.

SHIB whales have stabilized after a 3-day decline

From December 14 to December 19, the number of addresses holding at least 1 billion SHIB increased from 10,861 to 10,930, indicating significant accumulation among large investors during this period.

This growth suggests increasing confidence in SHIB from large investors, or "whales," who often play a crucial role in driving market trends due to their substantial holdings. This accumulation may indicate a positive sentiment and support price stability or upward momentum.

However, after reaching a peak of 10,930 on December 19, the number of SHIB whale addresses began to decline and has stabilized at 10,875 over the past two days. This recent stability suggests a pause in both accumulation and distribution, indicating that whales may be waiting for clearer market signals before taking further action.

In the short term, this could mean that Shiba Inu's price may consolidate, as the absence of significant whale activity could reduce volatility and momentum in either direction.

SHIB Price Prediction: Potential for a 29.5% Increase

SHIB is currently trading within a narrow range, with a resistance level at $0.000024 and support at $0.00002259 defining its immediate boundaries. If the $0.00002259 support level fails to hold, the second-largest meme coin on the market could face additional downward pressure, potentially dropping to $0.00001985.

Conversely, if SHIB's price can break above the $0.000024 resistance level, it could gain momentum and test the next level at $0.000026. If this level is surpassed, the price could continue to climb to $0.0000298, representing a potential increase of 29.5%.

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