According to on-chain metrics, Shiba Inu’s progression is more than a possibility
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Shiba Inu (SHIB) is currently in a low volatility state. According to the latest data, SHIB is trading at $0.00000813 and has been hovering around this level for the past 7 days. This lack of price action could be a harbinger of a significant shift, and one key metric, IntoTheBlock’s global in/out-of-the-money (GIOM), could offer some insight.
The GIOM metric identifies the average cost at which tokens were purchased for each address with credit. If the current price is above the average cost, the address is “in the money”; if less, it is “out of the money”. According to this metric, there are only 76 trillion SHIB tokens left for the price to rise. This suggests that a large portion of SHIB holders are currently “in the money,” which could serve as a resistance level for the cryptocurrency.
From a technical perspective, SHIB price’s low volatility could be a double-edged sword. On the one hand, it indicates a lack of buying pressure, on the other hand, it means that less liquidity is needed for the price to rise. This could be beneficial in the event of a sudden increase in purchasing power, as less capital would be required to drive the price up.
Additionally, upcoming developments in the Shiba Inu ecosystem, such as the relaunch of Shibarium, could act as catalysts for price movements. Despite initial issues that left more than 1,000 ETH stuck in the bridge, the restart could affect market sentiment and potentially push the price higher.
While the current low volatility and GIOM metric indicate a level of resistance for SHIB, they also present an opportunity. A sudden increase in purchasing power could push the price up slightly due to the low liquidity needed.