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Meme-based token Shiba Inu has shown a 17% increase in one day after retracing for 10% from the local top. Currently, the market shows more buy orders appearing in the order books than sell orders. In addition to increased buying power, almost 80% of holders are in profit.
Increased buying activity
After a recent tweet from Elon Musk, in which he posted a symbol-drawn animal that looks similar to Shiba Inu and is holding a rocket, the price of the memetoken increased by 10% almost immediately—but then it retraced a bit. Currently, it remains at $0.0000279 after retracing for 2% from the daily top.
According to on-chain data, buying power is currently greater than the number of sell orders, which indicates that market participants are still looking forward to buying the meme-powered digital asset.
In addition to the aforementioned indication, whale-tier addresses have begun moving funds from their addresses, which also correlates with previous price rallies.
Majority of holders staying in profit
Similar to DOGE, the majority of token holders are currently staying in profit with 78% of addresses entering the market for a price lower than the current one. Though the token has retraced from its ATH, the majority of addresses are still staying in profit.
The market is considered "overbought" when the value of the number of addresses in profit exceeds 90-95%, according to the history of correction phases on the market. The main reason behind such price action is tied to the fact that the majority of traders are more often looking to take profits when the price breaks one high after another.
Vladislav Sopov