https://ift.tt/nNE9PTe 60% in seven days- The Cryptonomist

In the last few days, the price of Shiba Inu (SHIB) has jumped by 60%. 

Jump for the price of Shiba Inu 

Specifically, the jump started on Sunday, when it went from 0.022 to 0.028  thousandths, and then continued between yesterday and today reaching 0.034 thousandths. 

It is still 60% below the highs of October 2021, but the rise of the last few days is really significant, especially since it had not been growing significantly for weeks. 

However, it is worth mentioning that the current price is in line with that of the beginning of the year. 

In other words, in the last three days it has recovered everything it had lost during the month of January, while for example the price of Bitcoin, which has been rising for more than a week, has not yet managed to recover it completely. 

Shiba Inu is a so-called “meme coin“, whose value is very volatile mainly due to the fact that it lives mainly thanks to the interest of its community. This interest varies a lot over time, and very quickly, so it is not strange that it loses a lot during bearish periods, while it gains a lot during bullish ones. 

Technical analysis of SHIB

The euphoria that is characterizing the SHIB market these days is made evident by the RSI index of its 14-day price, which has shot up to the highest since October 29 when the price was 0.089 thousandths.

So currently SHIB turns out to be well above the overbought threshold, but this does not necessarily mean that the climb is over. The current level of 0.034 thousandths seems to be a resistance. In case this resistance is broken, the rise could continue for a while longer. 

Why Shiba Inu is rising

It is difficult to pinpoint the exact reasons why the price of SHIB has been rising so much in the last three days. It is possible that it is basically a stronger reaction compared to other cryptocurrencies in response to the general rebound in crypto markets that has been going on since the end of last week. 

In fact, in the second part of last week, positive signals started to appear on crypto markets, probably also related to the end of the January risk aversion phase, and perhaps SHIB simply was the cryptocurrency that was able to take advantage of it the most. 

Then again, the loss from the highs had been particularly heavy, and given the volatility of this crypto asset, a bigger bounce after a bigger drop could explain the recent price dynamics. 

It remains to be seen how long this period of particular enthusiasm can continue.