Forecast: Shiba Inu (SHIB) Price Rally Could Overtake Dogecoin If This Happens

Shiba Inu Price Insights:

• Shiba Inu (SHIB) price has increased by 8% this week as crypto investors shift focus to memecoin markets to amplify their gains. 
• Despite flipping the $0.00008 resistance, SHIB still ranks below Dogecoin price in the weekly top gainers’ charts. 
• On-chain analysis shows that Shiba Inu has witnessed a significant increase in trading activity this week. 

Shiba Inu price has increased by 8% this week as crypto investors foray into memecoin markets to amplify their gains. On-chain analysis examines a critical data point that could catapult the SHIB price rally ahead of Dogecoin in the coming weeks.

Dogecoin is Currently Ahead of Shiba Inu on the Memecoin Top Gainers’ Chart

As investors shifted focus to the memecoin market this week, the total valuation of the entire sector has increased by 3% to reach $17.7 billion. A closer look at the charts shows that Shiba Inu currently ranks second behind DOGE on the memecoin sector top gainers’ list. 

The chart above shows that while Dogecoin (DOGE) has increased by 9.21%, Shiba Inu has only gained 7% this week. Meanwhile other top performing memecoins include PEPE and FLOKI. 

However, Shiba Inu’s price has entered a break-out phase after recalaiming the $0.000008 territroy. A vital on-chain data metric has highlighted that SHIB token could soon overtake the Dogecoin in the next few days. 

Shiba Inu Holders Have Significantly Increased Trading Activity This Week

This week, Shiba Inu holders have significantly increased their transactional activity as the crypto market rally intensified. As depicted below, the total SHIB Tokens Transferred surpassed 15.9 trillion on Nov. 7.This marks the highest level of trading activity on the Shiba Inu network since August.

For context, the highest figure registered last month was 11.5 trillion SHIB Token Transfers recorded on October. 20. Hence, the 15.97 SHIB transfers on November 7,  represents a 38% increase from last month’s peak transaction activity.

 

The Tokens Transferred stat is the aggregate number of total SHIB tokens transacted on any given day. Typically, investors interpret such a sharp increase in transactional activity, as observed above, as a bullish signal. 

It fundamentally indicates growing investor interest and increased market liquidity for SHIB. It is no surprise that the 38% increase in peak network activity has been followed by a price breakout above the $0.0000085 90-day resistance. Intuitively, if SHIB Token Transfers continue to rise, SHIB price is likely to catch up to DOGE in the Days ahead. 

Shiba Inu Price Forecast: Bull Rally Toward $0.00001

Shiba Inu price has not reached the $0.00001 since mid-August. However, the recent spike in trading activity suggest that the bulls could soon reclaim that territory. The daily timeframe technical analysis indicators also affirms this bullish Shiba Inu price forecast.

As of November 9, Exponential Moving Average (EMA-30) of $0.0000078, and the Simple Moving Averge (SMA-20) is at $0.0000076. With these two data points currently below Shiba Inu’s currently price of $0.0000085, the alignment indicates a dominant bullish price momentum 

However, for the bulls to remain in control as predicted, SHIB price must first scale the initial resistance situated at the upper Bollinger band around $0.000009. A decisive break out from that level could put SHIB price  in a prime position to reclaim $0.00001 for the first time since August.    

Conversely, the bears could negate that bullish prediction if Shiba Inu fails to defend inital support level at the $0.000007 lower Bollinger band. Losing that support could triggeer larger downswing toward $0.000006.