The market for Shiba Inu has shown promising signs recently, kicking off October with a notable uptick. The boost wasn’t specifically attributed to unique factors surrounding the coin itself. Instead, it coincided with a rise in Bitcoin prices, which often influences the wider cryptocurrency landscape. After experiencing a tough September, this uptick is a welcome sign for investors holding Shiba Inu, especially after prices dipped below $0.000012. Moving forward, it’s important to examine the trading volumes to understand the potential trajectory of Shiba Inu.
Analyzing Trading Volume: A Key Indicator
Assessments using crypto volume metrics from reputable sources highlight the level of market participation for Shiba Inu. Currently, the figures signify a lukewarm interest among investors, especially when contrasted with the peaks seen during price surges. As it stands, Shiba Inu’s daily trading volume remains disappointingly low.
In September, daily trading volumes hovered around $200 million, which represented a significant drop compared to prior months. This trend closely mirrored the increased bearish sentiment prevalent in the market, particularly as September drew to a close. October’s early figures from Coinglass indicate this trend persists, with trading volumes reported at approximately $150 million. CoinMarketCap echoes this with similar figures, underscoring a lack of significant market activity.
Implications for Shiba Inu’s Future Performance
With such low trading volumes, it’s clear that Shiba Inu is not primed for another significant upward momentum just yet. Historical trends indicate that substantial rallies have typically occurred alongside increased trading volumes. For instance, during its peak in 2021, Shiba Inu reached an all-time high of $0.000088, a feat matched by notable volume spikes.
These patterns have re-emerged during previous periods of intense rallying, such as the rise from $0.000009 to $0.000023 in March 2024. If Shiba Inu is to regain its former heights, a considerable influx of trading activity will be critical.
Nonetheless, several positive developments are surfacing for Shiba Inu. Notably, exchange balances have dwindled to their lowest since 2023, indicating that many investors are opting to hold their assets rather than sell. This behavior could potentially ease selling pressure, creating a more stable environment for price growth.
