Markets
Why Shiba Inu Explodes as Crypto Fear and Greed Hits 74
Shiba Inu continues to defy the overall slowdown in the crypto environment by posting impressive gains earlier in the week. The dog-themed meme coin boasts a 3.5% increase to $0.00002536 during business hours in the United States. This comes on top of a 5.5% increase in seven days, supported by volume surging to $575 million based on CoinMarkeCap data. Should SHIB Price Analysis If it sustains above the $0.000025 level, the next breakout could push it above $0.00003.
What’s next for the Shiba Inu as the cryptocurrency fear and greed index soars
Second Alternative, a platform that tracks market sentiment, the cryptocurrency fear and greed index is steadily increasing. From the agreed level of 67 last month, the index is now at 74, implying euphoria.
The cryptocurrency market is known to be very emotional. This means investors become greedy as prices rise, signaling fear of missing out (FOMO). It has also been observed that “people sell their coins in the irrational reaction of seeing the red numbers.”
Cryptocurrency Fear and Greed Index
There are two extremes of market behavior, where extreme fear means investors are worried. For the keen investor, this is often a good time to buy.
On the other hand, greed signals the exhaustion of the uptrend. The market is ready for a correction. As well as Shiba Inu rises towards $0.00003, investors need to be cautious: a pullback may be on the way.
SHIB price analysis: signals from the technical structure
Shiba Inu sits atop all three bull market indicators, starting with the 200, 50, and 20-day exponential moving averages (EMAs) (the purple, red, and blue lines overlaid on the chart).
The moving average convergence divergence (MACD) bounced into the positive region, strengthening the bullish structure. If the blue MACD line remains above the red signal line, the path of least resistance will remain upwards.
SHIB Price Analysis Chart | Tradingview
Breaking above the immediate resistance at $0.000026 could encourage more people to buy SHIB, hence the FOMO in the cryptocurrency fear and greed index. This will likely push the price above $0.00003 and bring the next target of $0.000035 within reach.
However, traders cannot ignore the risk of a pullback from the current price level. In that case, selling your Shiba Inu might be a good idea. The same people can apply proven dollar-cost averaging (DCA) strategies to buy at low prices and increase their stock holdings memetic currency.
EMAs are able to provide support. Other key levels to watch out for are the buyer congestion at $0.000022 and $0.00002 respectively. After raising cash, Shiba Inu would be poised for a stronger breakout.
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