Strong Fundamentals Fail to Drive Up Shiba Inu (SHIB) Price
Aiswarya Gopan • 2 min read
Shiba Inu (SHIB) is displaying signs of weakness as holders indulge in profit taking, after being one of the biggest movers upwards during the volatile trading over the weekend. At the time of writing, SHIB/USD is trading at around $0.000034.
One of the biggest announcements that spurred the buying action in the second most popular memecoin could be Flexa Network adding support for the SHIB token on its platform. The payments network backed by leading crypto exchange Gemini will now allow users to make secure payments in over 40,000 stores across the US using Shiba Inu, giving investors one more reason to buy into the token.
Shiba Inu’s adoption as a payment method has been on the rise in recent months, ever since its latest rally saw its market cap briefly overtake Dogecoin. A few days ago, popular blockchain-based online travel booking provider Travala.com also added support for the meme toke within its payment system. This move will allow SHIB holders to purchase more than three million travel products worldwide using their tokens.
Beyond Adoption: Shiba Inu Finds Support in More Developments
Last week was also a good one for SHIB traders after the announcement of a partnership between Shiba Inu Games and PlaySide. The strategic agreement will see Australia’s largest publicly listed game studio develop a multiplayer Collectable Card Game which can be deployed across multiple platforms and can be launched by early 2023.
SHIB is also enjoying support from a continued increase in buying activity into the meme token among whales or large holders. When its value tumbled last Thursday amid the bearish mood in the wider crypto sector, several users spent more than $1 million to purchase Shiba Inu coins, making the most of the weak price. The uptick in whale activity reveals a growing interest in the memecoin among serious investors.
SHIB/USD Technical Analysis
Technical analysis of the H4 price chart, we find a strong bearish bias among moving averages and the momentum indicator. Although, the MACD js indicating some presence of buyers as well.
Shiba Inu’s price has slipped under the pivot point at $0.000036 but the immediate support at $0.000033 is working well for now. We need to keep a close watch on this level as it could trigger a sharp sell-off in the SHIB token.