Shiba Inu Price to Surge as Whales Buy and Team Commits to Shibarium Growth

Shiba Inu price has crashed in the past few months, moving from a high of $0.00001765 in May to $0.00001200 today. This rally could be about to end as whales have bought over 62 billion tokens, supply on exchanges drop, and the team pledge progress on Shibarium.

Shiba Inu Price Chart Analysis Points to an Eventual Rebound

The daily chart shows that the Shiba Inu price has been under pressure in the past few months. This pressure accelerated last month after an exploit on ShibaSwap, its layer-2 network.

This chart shows that the SHIB price has dropped to the lower side of the symmetrical triangle pattern, A closer look shows that this triangle is now nearing its confluence, where rebounds happen. 

The Relative Strength Index (RSI) has started to point upwards, a sign that the coin is having a turnaround.

Therefore, the most likely scenario is where the SHIB price rebounds in October, which is historically a good month for Bitcoin and other altcoins. If this happens, the initial target to watch will be at $0.00001480, its highest level on September 12 this year. 

A move above that resistance level will point to more gains, potentially to the next important resistance level at $0.00001765, its highest level in May, which is about 45% above the current level.

The bullish SHIB price forecast will become invalid if it drops below the lower side of the triangle pattern at $0.00001150. A move below that support level will point to more downside, potentially to the year-to-date low of $0.000010.

Whales are Buying SHIB Coins as Exchange Supplies Dip

One reason why the Shiba Inu price may rebound soon is that whale investors have been in a buying spree in the past few weeks. They started to buy these coins after the whale holdings plunged to the lowest level in months.

Whales now hold over 101.01 billion tokens, up from the September low of 38.4 billion. These 62 billion purchases mean that the investors are highly bullish on the coin.

Another on-chain metric shows that the amount of SHIB tokens on exchanges has been in a freefall in the past few months. There are now 282 trillion tokens on exchanges, the lowest they have been in months.

Exchange balances have plunged from nearly 300 billion in July, in a sign that investors are not selling even as the price continues falling.

Another potential catalyst is that the team has expressed hopes that Shibarium will rebound after the recent exploit on Shibarium. 

In a recent note, Lucie, a core developer noted that the recent hack exposed the weak points, which they are now solving. She also noted that, while activity in the network has dipped, there was a potential for reignition.

Lucie also added that Shibarium was not finished but was simply evolving and emerge bigger than it was before the hack.