Sun. Apr 21st, 2024

In the fascinating ecosystem of the Shiba Inu, a battle is raging between the bulls and the bears. However, based on the data on the blockchain, it appears that the bulls have the upper hand at the moment. The bull and bear indicator tracks the number of directions that have bought or sold more than 1% of the total volume traded on any given day, and is currently showing more bullish presence. Looking at the volume of SHIB in the last 24 hours, we can see that it reached a value of $125 million. This means that those who bought more than 1.25 million SHIBs belong to the group of bulls, while those who sold more than 1.25 million are considered bears. At the time of this publication, there were more than a dozen additional bulls in the ecosystem (153 vs. 147).

Source: IntoTheBlock

Reason 1: Rising Bullish Demand

To determine if the Shiba Inu’s bullish streak will reignite, it is necessary to analyze other key metrics. One group of large investors has been actively buying SHIB tokens, while another group has been selling. In the last day alone, purchases amounted to 579.2 billion SHIB, while sales were around 480.1 billion. As a result, the net flow of tokens was 99.1 billion, which represented a value of just $716,493 at press time. Although the net figure is approaching breakeven, the buying momentum for Shiba Inu is still insufficient.

Source: IntoTheBlock

Reason 2: Declining Social Sentiment

Also, the social sentiment associated with Shiba Inu is currently on the decline. Over the past seven days, social engagement has dropped over 97%, and SHIB-related mentions have dropped by 94%. These factors have had a negative impact on the social dominance of SHIB, which has also decreased by more than 90% at the time of this publication.

Source: LunarCrush

Reason 3: Negative Funding Rate

In the futures market, the SHIB funding rate has fallen into negative territory, a situation that has not been seen in Shiba Inu in more than two weeks. This indicator suggests that even bullish traders are dumping their Shiba Inu positions. Until there is momentum buying and a change in Shiba Inu market sentiment, it will be difficult for SHIB to move up the charts. If current conditions persist, it is possible for SHIB to take a bullish break, halting its upward momentum.

Source: IntoTheBlock In conclusion, although there are bullish signs in the Shiba Inu ecosystem, there are factors that hinder its progress. It is important to closely monitor the evolution of these variables to determine the future of SHIB in the market.

By Farwa Raza

Farwa Raza is a writer who specializes in news articles. She has been writing on wttspod.com for over one years, and during that time she has written over 100+ articles on various topics ranging from politics to entertainment. Her goal as an author is to provide readers with the latest news stories while also providing her own opinion on them.