Shiba Inu (SHIB) trading volume has increased by more than 128%, according to CoinMarketCap data. At the time of writing, 20.1 trillion (20,156,983,487,493) SHIB, or $164,114,453 worth, has been swapped in the last 24 hours as the crypto market sell-off intensified.
Increased volatility often leads to higher trading volumes as seasoned traders purchase and sell huge quantities to maximize profits.
Similarly, the increase in SHIB volume might be due to investors buying the dip as its price fell to near six-month lows. Traders are presumably scrambling to capitalize on the opportunity given by the recent dip to buy at a discount.
Some commentators, however, believe that the total number of units moved between buyers and sellers, or trading volume, might be an unreliable indication of investor strategy.
SHIB reaches buying support
Shiba Inu touched on the important $0.0000080 support on Dec. 16 as its price fell for the third consecutive day.
Buyers emerged at these lows as SHIB slightly rebounded to intraday highs of $0.000082 on Dec. 17. Although it is currently around this range, buyers deem it an opportunity to accumulate the dip.
SHIB is presently sustaining around the $0.0000081 level from where its price rose nearly 25% to reach highs of $0.00001016 on Dec. 5. The SHIB price also rose in June this year when it first touched on this key support. At the time of publication, SHIB was changing hands at $0.0000082, down 4.52% in the last 24 hours.
While there seems to be a whole lot of doom and gloom in the crypto market as a result of recent happenings in and outside the space, from Binance FUD and the FTX saga to the Fed's aggressive monetary stance, on-chain analytics firm Santiment believes that the capitulation might end soon. This is because, based on historical precedents, the present uncertainties might represent a bottoming signal.