Shiba Inu has narrowly avoided slipping into the dreaded five-zero price zone after rebounding to trade around $0.00001173. This recovery has caught attention as it coincided with a sudden surge in whale-level transactions, signaling a potential shift in sentiment.
On June 23, SHIB recorded a +1.38% gain, closing with a solid green candle that marked a clear reaction from recent lows. It rebounded just above an already established support zone, and within that time window, the bulls found a chance to get into the market again. The action aided in ensuring that the token did not dive further into the psychological danger zone.
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The focus is next forwarded to the 26-day Exponential Moving Average, which is experiencing proximity to $0.00001221. This is one of the strongest support levels, and it has been the case with many rallies. Once broken above it, it would support short-term upside momentum, move prices up and in touch with the 50-day EMA, and potentially position towards $0.000013.
Source: Tradingview
To add more drama to the bounce, a sharp rise in on-chain activity by large holders was also present. According to IntoTheBlock data, on June 23, almost 4.13 trillion SHIB traded in whale transactions, the highest number of large deals in the last 30 days. A spike like this commonly presents as a silent build-up or renewed confidence of prominent market players.
Whale Activity Sparks Speculation as Technical Hurdles Remain
Whale involvement typically signals a shift in positioning during uncertain market conditions. However, SHIB’s recent uptick has not yet broken through primary resistance levels, keeping traders cautious.
Despite the whale activity, the token continues to trade below its 100- and 200-day EMA bands. These medium-term indicators point to a continued trend that is tilted towards the downside. Unless there is a solid breakout above these levels, any short-term rally can be short-lived.
Also, SHIB has yet to form a pattern of increasing lows or bullish pressure. The recent bounce-back can be considered temporary relief until such a structure is formed instead of a complete turnaround in trends.
Shiba Inu’s escape from further losses and rising whale activity bring short-term optimism. However, significant resistance levels must be broken before a sustained rally can take shape.
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