Why is Shiba Inu price up today?

Cryptocurrency

The price of Shiba Inu (SHIB) is up today amid a broader crypto market upswing and a supportive fundamental factor.

What’s driving SHIB’s price upward?

On Aug. 9, the SHIB price jumped nearly 5.75% to $0.00001005, continuing a rebound trend that started two days ago. Overall, the price has reversed approximately 15% from its recent low of $0.0000947.

SHIB/USD daily price chart. Source: TradingView

A huge chunk of these gains came on Aug. 8, when BitPay, a crypto payment processing company, announced “Bill Pay,” a new service that enables cryptocurrency users to pay bills directly from their wallet.

Shiba Inu is one of the many listed tokens in the service, which may have boosted its upside prospects among traders on Aug. 9. In addition, the token may have rallied under the influence of the cryptocurrency market’s overall gains, led by hopes about a spot Bitcoin ETF approval in the U.S.

Bitcoin (BTC) has jumped nearly 4.25% from its recent market low of around $28,650, driving altcoins higher alongside.

Shiba Inu whales accumulate

From an on-chain perspective, most of Shiba Inu’s richest addresses have accumulated SHIB tokens during its price rebound in the past two days.

Notably, the 100 million–1 billion SHIB address cohort (green) has jumped modestly since Aug. 7, while the 1 billion–infinity SHIB address cohort (royal blue), which holds 96.5% of the total SHIB supply in circulation, is flat, as shown below:

SHIB supply distribution. Source: Santiment

Shiba Inu price forecast for August 2023

From a fractal analysis perspective, Shiba Inu is trading near levels that last prompted selloffs in the market.

Notably, the SHIB price shows signs of bearish reversal after testing the $0.00001052–0.00001003 range as resistance. These signals pick further downside cues from SHIB’s daily relative strength index (RSI), which treads near its overbought level of 70.

SHIB/USD daily price chart. Source: TradingView

Both metrics indicate exhaustion in SHIB’s short-term uptrend. This suggests SHIB is at risk of falling toward $0.00000899 in August, down about 10% from current price levels. This level coincides with SHIB’s ascending trendline support.

Related: Here’s what happened in crypto today

Shiba Inu’s weekly timeframe chart hints at a potential correction as well. Notably, SHIB/USD trades near a resistance confluence comprising a multi-month descending trendline and a 50-week exponential moving average (50-day EMA; the red wave in the chart below) near $0.00001054.

SHIB/USD weekly price chart. Source: TradingView

SHIB could drop toward the horizontal trendline support near $0.00000800 if the price reverses from the resistance confluence — down 20% from the current price levels.

This article does not contain investment advice or recommendations. Every investment and trading move involves risk, and readers should conduct their own research when making a decision.

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