Will SHIB Surge Tackling Technical Hurdles? 73% of Tokens at Loss

Shiba Inu (SHIB) holders are currently navigating a challenging market landscape, as data reveals that approximately 73% of SHIB tokens are held at a loss. This development follows the meme coin’s inability to maintain its support level at $0.0000170, where investors previously acquired 496.48 trillion SHIB. As the price of SHIB hovers around $0.00001382 at press time, with a 24-hour trading volume of $164,532,936, the market outlook remains a focal point for both short-term traders and long-term holders.

The current price range of SHIB indicates varying levels of profitability among its holders. A small percentage of addresses acquired SHIB at prices between $0.0000000 and $0.000008, placing them in a favorable profit position. 

Notably, a significant number of addresses fall within the $0.000008 to $0.000013 range, where these holders are also experiencing profits. On the other hand, a majority of addresses, especially those that purchased SHIB between $0.000014 and $0.000139, are currently at a loss. This distribution highlights the varied experiences of SHIB investors, depending on their entry points into the market.

With a large portion of addresses in the money, there is a potential for profit-taking, especially if the price nears or surpasses the $0.000014 mark. If many of these addresses start selling, it could apply downward pressure on the price. The weighted sentiment for SHIB has seen a decline, with the current level at -0.705, reflecting a generally negative market mood. This sentiment is further supported by the 30-day Market Value to Realized Value (MVRV) ratio, which stands at -11.9%. 

This indicates that all SHIB investors over the last 30 days are, on average, experiencing an 11% loss. Moreover, the MVRV ratio over the past year has remained predominantly below 0%, underscoring a prolonged period of losses for SHIB holders.

Dormant circulation, a key indicator of long-term holder activity, has shown sporadic spikes, particularly in early March and late June 2024. These spikes suggest that long-term SHIB holders may be shifting their positions, potentially adding to market volatility. 

Additionally, exchange inflows and outflows have exhibited periodic spikes, with notable increases during periods of price decline. However, the current levels of inflow and outflow activity are relatively low, indicating a phase of reduced trading activity as investors possibly await more favorable market conditions.