- An increase in the average age of the coins indicated a further decline in the price of SHIB.
- The volume of net exchange flow was negative, suggesting possible stability.
On May 5, the Middle Coin Age (MCA) of 90 days on the Shiba Inu [SHIB] The network suddenly jumped, AMBCrypto noted. As the name implies, the MCA is the average age of all tokens on a blockchain.
However, the concept of coin age is not only concerned with whether a token is old or young, as the metric correlates with price.
The elders let go
Historically, a low MCA means more coins are withdrawn to a wallet.
In the short term, this movement is a sign that holders are not willing to sell. As such, the price of the token involved may not suffer a severe drop.
On the other hand, spikes in the MCA, as happened with Shiba Inu, suggest that ancient coins are transferring their assets to another residence. In most cases, an exchange.
Therefore, it is possible that SHIB price is on the verge of another decline. At press time, SHIB changed hands at $0.000024.
Over the past 30 days, this was a decline of 8.22%. If the aforementioned metric continues to rise, the token value could fall below this price.
However, AMBCrypto analyzed another metric to assess whether the impending decline could be valid or not. For this part, we consider social dominance.
At the time of writing, the Shiba Inu’s social dominance had increased to 1.2. This increase suggests an increase in discussions about the project compared to the other 99 in the top 100.
SHIB sees a move to $0.000019
Looking at price action, increasing social dominance could be good. However, if it rises too much, SHIB price could get burned a bit and a crash could be imminent.
If this is the case, SHIB could drop another 20%, and this could leave the price at $0.000019. Furthermore, daily volatility showed that this prediction could be possible.
At press time, on-chain data showed volatility had dropped to 0.15. This decline implies that memecoin may not experience massive price fluctuations anytime soon.
Therefore, those hoping for a rally at $0.000030 might need to reduce their assumption. From the looks of it, the short-term Shiba Inu price range could be between $0.000019 and $0.000023.
Meanwhile, the token could be saved thanks to Glassnode data
. According to Glassnode analysis by AMBCrypto, the exchange’s net flow volume was -86.58 billion.
This metric is the difference between the volume entering and exiting exchanges. If this metric is positive, it implies that more tokens were exchanged than were withdrawn.
Therefore, the negative reading implies that more SHIB holders withdrew their tokens from most exchanges.
Read Shiba Inu [SHIB] Price prediction 2024-2025
If this amount of withdrawn tokens continues to rise, then Shiba Inu could find a footing and a notable correction could be out of the question.
However, if the number shifts to the green zone, the projected decline could be validated.
Next: Bitcoin: This is how long you should wait for BTC to rise to $71,000
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