Shiba Inu Pumps Higher, Pulled Upwards By Bitcoin In Wake Of SVB Fall-Out

Shiba Inu SHIB/USD was popping up more than 3% during Monday’s trading session, the fourth green trading day in a row for the crypto dubbed the “Dogecoin Killer.”

Dogecoin DOGE/USD was rising by about the same amount, though lagging behind Bitcoin BTC/USD, which was surging more than 9%.

Ark Invest founder and CEO Cathie Wood on Monday stated the collapse of SVB Financial Group proves crypto poses no greater threat to investors than the traditional system and that she and the crypto team at her management firm aren’t surprised to see Bitcoin and Ethereum soaring as a result. Read more here...

Gold, considered the go-to and more traditional safe haven asset in times of economic instability, was also reacting bullishly again on Monday, spiking up more than 2%.

More than 602 million SHIB was removed from circulation over the last 24 hours, which could also account for Shiba Inu’s bullish price action. The long-awaited Shibarium release caused the crypto’s burn rate to increase by over 2,400%.

The combination of news helped Shiba Inu to regain the 200-day simple moving average (SMA), indicating the March 9 close under that level was a bear trap.

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The Shiba Inu Chart: Although Shiba Inu crossed above the 200-day SMA, indicating a bull cycle is on the horizon, the stock hasn’t yet confirmed an uptrend by printing a higher high or a higher low on the 24-hour chart. Eventually, Shiba Inu will need to retrace to print a higher low and when that happens, bullish traders will want to see the crypto form a bullish reversal candlestick above the 200-day.

• Technical traders may have seen a bounce on the horizon because on March 9, Shiba Inu’s relative strength index (RSI) was measuring in at about 30%. When a stock or crypto’s RSI reaches or falls under that level, it becomes oversold, which can be a buy signal for technical traders.
• The move higher during Monday’s trading session was taking place on higher-than-average volume, which indicates a high level of interest Shiba Inu. If momentum continues, and Shiba Inu closes near its high-of-day, it could indicate higher prices will come again during Tuesday’s session.
• If Shiba Inu closes with a significant upper wick, it could indicate the local top has occurred and a retracement is in the cards. Declining volume could also indicate the crypto is in need of consolidation and is likely to trade sideways.
• Shiba Inu has resistance above at $0.00001178 and $0.00001259 and support below at $0.00001081 and $0.00000975.

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