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The price of dog-themed cryptocurrency Shiba Inu (SHIB) is seeing a surge alongside the broader crypto market. At the time of writing, SHIB was up 5% in the last 24 hours to $0.00001682 and up 10% weekly.
Notably, SHIB's price has steadily ticked higher since hitting lows of $0.00001266 on July 5 and has marked six out of eight days in the green. However, all seems not rosy as it looks as on-chain data reveals Shiba Inu's biggest test still lies ahead.
Tomiwabold OlajideOn-chain data from IntoTheBlock suggests that the Shiba Inu price surge faces a significant roadblock ahead in the form of a gigantic 424.11 trillion SHIB in the range between $0.000017 and $0.000019.
Biggest test lies ahead for SHIB price
According to IntoTheBlock data, next to where the SHIB price trades presently, 424.11 trillion SHIB were bought by 30,730 addresses in the range between $0.000017 and $0.000019 and at an average price of $0.000018. This range represents a significant resistance level that could potentially hinder further upward movement.
The big volume of SHIB held in this price range shows that many SHIB holders might be looking to sell their tokens to break even, resulting in selling pressure that might slow the upside move. To break resistance, Shiba Inu bulls must attract such buying interest to dissipate selling pressure and push the SHIB price past this critical range.
That said, the coming days might be a true test for the bulls as they seek to overcome this significant hurdle and maintain SHIB's upward trajectory. If SHIB holders within this resistance range choose to hold rather than sell, it could reduce selling pressure and trigger a price breakout.
Traders should look out for Shiba Inu bulls if they might prevail against the resistance at this range. If SHIB manages to break through the 424.11 trillion SHIB wall, it could pave the way for further gains. However, if the resistance stays unbroken, a price retracement might occur or perhaps SHIB might persist in its current trading range for longer.
As the trend unfolds, it might be crucial to scan technical and on-chain data for crypto market sentiment to determine the likely move of the Shiba Inu price.
Arman Shirinyan
Alex Dovbnya
Vladislav Sopov
Dan Burgin