The price of Shiba Inu (SHIB) rises amid the release of NFT merch: how long will the rally drag on
Date: 2023-06-25 Author: Karina Ziganova Categories: BLOCKCHAIN
SHIB prices soared by 15% after the development team launched the long-awaited NFT merch collection and attracted a lot of attention to the Shiba Inu ecosystem. With the help of key on-chain metrics, we understand what is behind this growth, and how long the price rally can last.
The actions of large investors have already had a positive impact on the price of the asset. In the event that the whales maintain this level of activity, the SHIB rally has every chance of continuing.
In the period from June 17 to June 23, the NVT ratio fell by 74% - from 701.71 to 183.72. This indicates that the recent price rally was driven by organic growth in network activity rather than market speculation
Crypto whales are actively buying Shiba Inu
Over the past week, Shiba Inu whales have significantly increased their trading activity. According to the IntoTheBlock platform, in the period from June 17 to June 23, the number of transactions exceeding $ 100 thousand increased by 740% - from 10 to 74.
The actions of large investors have already had a positive impact on the price of the asset. In the event that the whales maintain this level of activity, the SHIB rally has every chance of continuing.
The NVT indicator confirms the possibility of further growth
The readings of the NVT (Network Value to Transaction) on-chain indicator of the Santiment platform confirm the possibility of a positive scenario. This metric is comparable to the traditional market market price-earnings ratio, where price is market capitalization and profit is the value of the network. It determines the under-/overvaluation of an asset at current price levels.
In the period from June 17 to June 23, the NVT ratio fell by 74% - from 701.71 to 183.72. This indicates that the recent price rally was driven by organic growth in network activity rather than market speculation
Shiba Inu price could rise to $0.000013
According to IntoTheBlock, Shiba Inu may continue to move towards $0.000013. However, on the way to this mark, the asset will have to overcome the resistance of 42,750 addresses with a total balance of 12.4 trillion tokens, which can close positions at the break-even point at $0.000008.
In the event of a fall to $0.000006, the bears will nullify the positive outlook. At this level, the asset will be supported by 51,230 wallets with 19.55 trillion coins — but if they fail, the price of SHIB will sink to $0.000005.
