Since the beginning of July, Shiba Inu's price action has been range-bound, indicating a lack of clear direction. However, the memecoin has shown signs of bullish momentum, achieving a golden cross that may signal an impending breakout.
Growth Potential of Shiba Inu
In the last 24 hours, Shiba Inu has shown signs of momentum build-up. The memecoin recorded a rise of over 4%, pushing it out of a narrow range. Moving along an upward trend, the 50-day moving average crossed above the 200-day moving average, traditionally indicating a bullish trend. Many analysts suggest that Shiba may be on the verge of an accumulation phase and recovery rally based on previous market trends.
Weak Whale Activity
Despite the price increase of Shiba Inu, doubts remain about the legitimacy of this rally. The absence of significant whale activity indicates that the rise may have been driven solely by retail demand. According to data from Coinglass, whale orderbook activity on major exchanges like Binance and Coinbase remains low, which could signal that the recent uptick is a temporary phenomenon.
Market and Economic Uncertainty
The recent rise of Shiba Inu occurs against a backdrop of overall stable dynamics in the altcoin market. However, analysts warn that the return of economic uncertainty could have serious implications for the value of the memecoin. As both stock and crypto markets may again face volatility, market analysts expect that this could lead to significant price changes for SHIB.
Shiba Inu illustrates signs of bullish growth; however, current weak whale activity and global economic uncertainty pose risks to the sustainability of this movement. Investors should focus on the evolving situation in the market.
