The Shiba Inu (SHIB) market experienced a dip in the early hours of trading, causing prices to drop to a low of $0.00001014. However, the bulls eventually regained control and drove prices to a new high of $0.00001105, causing a 5.71% increase from the previous close.
This was also confirmed by the crypto influencer Sydney TheCMO.eth on twitter,
#SHIB market experienced a dip but bulls regained control, driving prices to new highs. Keep an eye on key indicators like #MACD, RSI, MFI, and CMF to monitor market conditions. #ShibaInu #cryptocurrency
— Sydney TheCMO.eth (@SydneyIfergan) March 13, 2023
The bullish momentum was supported by the Moving Average Convergence Divergence (MACD) blue line crossing over its signal line and moving into the positive area, indicating a possible continuation of the bullish movement.
Similarly, the Relative Strength Index (RSI) reading of 66.65 above its signal line shows a strong uptrend in the SHIB market, indicating the likelihood of continued price rises. However, caution is urged as the Money Flow Index (MFI) on the 2-hour price chart indicates overbought conditions, with a reading of 89.28. This suggests a potential price correction soon, particularly if the MFI falls below 80. Traders are urged to proceed with caution and consider taking profits or placing stop-loss orders to mitigate risk in case of a significant price decrease.
The Chaikin Money Flow (CMF) is currently in the negative area with a value of -0.03, indicating a lack of purchasing pressure in the market, which casts doubt on the SHIB bullishness. However, if the CMF crosses over the “0” line, this could signal an increase in buying pressure and market momentum, leading to a potential bullish movement.
It is important to exercise caution when trading SHIB or any cryptocurrency. While the potential for profit can be high, so too can the risk. It is essential to conduct thorough research, analyze market trends, and make informed decisions before investing. Keep an eye on indicators such as the MACD, RSI, MFI, and CMF to monitor market conditions and make informed decisions.
