Shiba Inu is up 12% as chain data shows positive signals

• Shiba Inu active addresses hit their highest level since June, up nearly 75% in September.
• Social dominance is at a six-month high of 1.81%, signaling greater relevance and mentions among merchants.
• Shiba Inu wipes out nearly 12% of exchange supply in 2024 to 73.08 trillion on Friday.
• SHIB is targeting gains of over 12% as on-chain metrics and technical indicators turn bullish.

Shiba Inu (SHIB), the second largest meme coin, is seeing an increase in active addresses and social dominance, two key metrics on the chain.

Active Addresses is a metric used to identify activity in a meme currency, interest and demand among market participants.

Shiba Inu values ​​in the chain become optimistic

According to data from crypto tracker Santiment, there is an increase in active addresses on SHIB. The value reached the highest level since June, according to Santiment data. Active addresses in a 24-hour period are up nearly 75% from a month earlier.

Santiment addresses active for a period of 24 hours

The social dominant value used to identify the relevance and mention of a cryptocurrency in social networks like X also shows a large increase. The value hit a nearly six-month high of 1.81%, according to Santiment data. Shiba Inu’s social media mentions have increased, and this is likely due to the recent rise in the asset’s price, when it saw a 21% intraday gain earlier this week.

Social dominance vs. price

The supply of meme coins on exchanges fell nearly 12% year-to-date to 73.08 trillion on Friday. The decrease in exchange supply is correlated with the decrease in selling pressure, as smaller token volumes are available in exchange wallets.

Shiba Inu Exchange Supply

Shiba Inu eyes gain over 12%.

Shiba Inu started its multi-month downtrend after reaching the March 2024 peak of $0.00004567. SHIB rose nearly 21% on Thursday this week. The meme coin is likely poised for further gains and could rise another 12.8% towards its target of $0.00002415, the lower bound of the fair value gap (FVG) between $0.00002494 and $0.00002415.

SHIB could find support in FVG between $0.00001576 and $0.00001875 in the event of a price correction for the meme coin.

The MACD (Moving Average Convergence Divergence) indicator is flashing green histogram bars, increasing in size, which means there is positive upward momentum underlying the SHIB price trend. This supports an optimistic thesis for the Shiba Inu.

SHIB/USDT Daily Chart

A daily candlestick close in FVG between $0.00001576 and $0.00001875 could invalidate the bullish thesis for the meme coin and send SHIB collecting liquidity at $0.00001388.