- High SHIB transaction volume reached its highest point in weeks.
- The SHIB price has continued to rise since the peak.
Shiba Inu [SHIB] has witnessed an increase in the number of large transactions, with a notable increase in transaction volume.
This trend has drawn attention to how SHIB’s price might respond to these moves, as high transaction volumes could indicate increased market interest or significant trading by whales.
Analyzing this surge in activity alongside SHIB’s recent price performance can provide insight into potential price directions.
Shiba Inu sees large transactions increase
According to the graph of InTheBlokIn late September, major Shiba Inu transactions began to boom. Growth continued intermittently into November, with some notable peaks in early October and early November.
Source: IntoTheBlock
Transaction volume reached high levels in early November, indicating substantial market activity. On November 8, the large transaction volume reached 6.47 trillion SHIB.
This gradual upward movement suggests that these large trades have contributed to the recent price increase.
Price development after large volume peak
The price of Shiba Inu has been on an upward trend since it crossed the $0.000018 level. During the recent rally, the price rose above $0.00002221, marking an increase of 8.24% in the past day.
Analysis showed that the price trend was negative on November 8, when the large transaction volume exceeded 6 trillion. However, the price remained positive in subsequent days.
The 50-day moving average crossed above the 200-day moving average in early October, signaling potential bullish momentum.
Notably, SHIB maintained support above the USD 0.0000178 level, where it consolidated before making a push above USD 0.000022.
Source: TradingView
At 72.22 at the time of writing, the RSI indicates that SHIB may be entering overbought territory, indicating caution for traders.
However, if the bullish momentum continues, SHIB could test the next resistance levels around $0.000023 and $0.000025. Conversely, a retracement could see support at $0.000018, where previous consolidation occurred.
Potential implications of high transaction volume
The increase in the number of large transactions may indicate growing interest from large traders. It could also mean that whales are collecting Shiba Inu, which could indicate confidence in SHIB’s long-term potential.
However, such activities can also lead to increased volatility, as key holders can influence the price direction.
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As SHIB approaches critical resistance levels, the high trading volume could fuel a breakout or potential correction depending on whether large investors decide to buy or sell at these levels.
Shiba Inu price movement and increased large trades indicate a mix of bullish potential and caution. Monitoring transaction volumes and RSI levels could further determine SHIB’s short-term prospects.