The price of Shiba Inu-SHIB continued its downtrend, still struggling to gain upward momentum near the $0.00001404 level. Since the beginning of this week, the price has lost momentum and fell to intraday lows of $0.00001335 as the negative mood dominated the crypto market, which came under increasing selling pressure over the weekend, and the weakness of the market was reflected in the performance of Bitcoin (Bitcoin-BTC), as its price fell on the first day of the week.
In a related context, Binance transferred more than 135 billion SHIB coins without officially announcing the move, which worried investors, as this process coincided with the decline in the price of SHIB, indicating that the market reacted cautiously to the platform’s redistribution of its funds.
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Binance Transfer of Chiba Inu Coin and the Limited Impact on Price Trends
Popular cryptocurrency exchange Binance recently converted over 135 billion SHIBs, and the move is likely to be a routine part of the platform’s management of its funds and not a sign of massive withdrawals.
In general, the platform redistributes its SHIB coins across different wallets so that it can better manage liquidity and ensure that there are enough coins available for trading and other transactions, making it easier to complete transactions and increase the efficiency of operations on the platform.
In short, this transfer is likely to be just a step within the platform’s usual liquidity management strategy, not a big event. Thus, this reorganization is expected to have a limited impact on the SHIB price movement as it is part of the platform’s normal operating procedures.
From the point of view of technical analysis, the price action of Chiba Inu showed a slightly bullish trend after a prolonged upward march, as the price tried to break through the 50-day and 100-day Exponential Average (EMA) indicators.
Despite this slight upside, the overall market sentiment remained negative, making it difficult for the price movement of Sheba Inu to maintain its uptrend. Current signals on blockchain and on trading platforms also suggest that the current bullish momentum may not be strong enough to change the negative outlook for the price of SHIB.
Shiba Inu struggles amid Bitcoin price drop and market decline
The bullish momentum of the Chiba Inu price faded in a clear sign that shows that bearish trends dominate the entire cryptocurrency market, especially with the price of Bitcoin falling from the $62,000 level to below $58,000, to follow in its footsteps, highlighting the close correlation between the price of the two currencies.
Chiba Innu’s trading volume also fell to $321 million, a relatively small figure compared to its market capitalization of $8.2 billion.
The futures market also deteriorated with the value of open contracts falling from $53 million in July July to $22 million in August August.
Challenges faced by the Chiba Inu technology system – such as asset depreciation and decline in gross reserved value (TVL) on the current Shibaswap platform have also contributed.
However, the formation of a bearish wedge pattern on the weekly price chart may indicate the possibility of an upward retracement if market conditions improve.
Chiba Innu price targets rise above $0.000014 despite stubborn resistance level
The Chiba Inu is currently above $0.000014 supported by a clear bullish trend line on its 4-hour chart, which reveals continued buying sentiment suggesting that market sentiment could favor bulls if the price consolidates above this key level.
The 50-day Exponential Moving Average (EMA) indicator is a resistance level that will hinder a potential price rise.
The Trilogy Top pattern around $0.00001466 also shows further resistance, meaning that bulls may have difficulty raising the price above this level without strong momentum.
Conclusion: Technical indicators illustrate the dominance of a cautious approach, and a price breakout above $0.000014002 may confirm a buying propensity, but traders should be cautious of the potential resistance level at $0.00001466. Conversely, if the Chiba Inu price fails to stay above $0.000014002, this could indicate a reversal of the current trend.
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