The post Can the Rally Last Amid Whale Hesitation? appeared on BitcoinEthereumNews.com.

SHIB price has been on the move recently, with a sharp rise in its 7-day MVRV ratio indicating that many holders are in profit. Whale activity has been cautious, with only modest accumulation, which could limit further price gains. Although SHIB’s EMA lines are bullish, with a golden cross forming, the token faces strong resistance ahead. These factors together suggest that SHIB’s current rally may face challenges sustaining momentum. SHIB 7D MVRV Hints at Correction As one of the leading meme coins, Shiba Inu recently saw its 7-day Market Value to Realized Value (MVRV) ratio jump sharply from 3.1% to 9.57% in just 24 hours, alongside a 12% price surge. This spike indicates that a significant portion of SHIB holders are now in profit. The MVRV ratio measures the average gains or losses of tokens in circulation relative to their acquisition prices over the last seven days, helping gauge short-term profitability. When the MVRV ratio increases, it often signals that more investors are in the green, which can lead to profit-taking behavior. The 7-day MVRV Ratio is a critical metric for assessing short-term market sentiment. A high ratio suggests that the asset may be overbought, indicating the potential for a price correction. Read more: 6 Best Platforms To Buy Shiba Inu (SHIB) in 2024 SHIB 7D MVRV. Source: Santiment Historically, SHIB’s MVRV ratio crossing the 9% mark has been a precursor to major pullbacks. The last two times SHIB’s 7D MVRV ratio exceeded this level, the token experienced significant corrections of 50% and 18% in the following weeks. Given this historical context, while the recent price jump may appear bullish, it could also signal that SHIB price is entering a phase of heightened risk for a potential sell-off. Whales Are Not Accumulating A Lot Of SHIB Now, let’s analyze the movement of whales in relation to Shiba Inu. From the end of…

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Filed under: News - @ September 26, 2024 10:18 pm