The memecoin known as Shiba Inu, or SHIB, saw an exceptional surge in its price recently, reaching levels that had not been observed in the past two years. This rise was largely influenced by Bitcoin's record-breaking surge to an all-time high. Despite this notable rally, the outlook for April and the second quarter suggests a downward trend for SHIB.
Historical Trends Predict a Decline
Historical data from Cryptorank indicates that April has historically been a challenging month for Shiba Inu's SHIB, with an average monthly gain of 8.93%. In past years, SHIB experienced significant volatility in April, with substantial increases in 2021 but declines in 2022 and 2023. The current April started with a decline of 5.53% for SHIB.
When examining SHIB's quarterly performance, the second quarter (Q2) has typically been the weakest historically for the altcoin. While there was a positive trend in Q2 of 2021, subsequent years saw negative trends with significant declines.
Possibility of Change This Time
Despite these trends, there are indications that the current quarter may see a different price performance for Shiba Inu. Various bullish catalysts in the ecosystem, such as the upcoming Bitcoin block reward halving and continued SHIB burns, could potentially shift the balance between bulls and bears.
Moreover, the adoption of Shiba Inu's Shibarium scaling solution is contributing to the ecosystem's expansion and strengthening its foundation. These factors suggest that the second quarter of 2024 might be positive for SHIB, despite historical trends.
The article was originally published on COINTURK NEWS: Shiba Inu Coin Sees Unprecedented Price Surge
