SHIB presently sustaining around $0.0000081 level
Shiba Inu (SHIB) trading volume has increased by more than 128%, according to data from CoinMarketCap. At the time of writing, 20.1 trillion (20,156,983,487,493) SHIB, or $164,114,453 worth, have been swapped in the past 24 hours as the crypto market selloff intensified.
Increased volatility often leads to higher trading volumes as seasoned traders purchase and sell huge quantities to maximize profits.
Similarly, the increase in SHIB volumes could be due to dip buying by investors as its price has hit a six-month low. Traders are probably scrambling to capitalize on the opportunity given by the recent decline to buy at a discount.
Some commentators, however, believe that the total number of units moved between buyers and sellers, or trading volume, might be an unreliable indication of investor strategy.
SHIB reaches buying support
The Shiba Inu touched the crucial $0.0000080 support on December 16 as its price declined for the third day in a row.
Buyers emerged at these lows as SHIB slightly rebounded to intraday highs of $0.000082 on Dec. 17. Although it is currently around this range, buyers deem it an opportunity to accumulate the dip.
SHIB is currently holding the level of around $0.0000081, from where its price rallied almost 25% to a high of $0.00001016 on 5 December. SHIB price also increased in June this year when it touched this key support for the first time. At the time of publication, SHIB was changing hands at $0.0000082, down 4.52% over the past 24 hours.
While there seems to be a whole lot of doom and gloom in the crypto market as a result of recent happenings in and outside the space, from Binance FUD and the FTX saga to the Fed’s aggressive monetary stance, on-chain analytics firm Santiment believes that the capitulation might end soon. This is because, based on historical precedents, the present uncertainties might represent a bottoming signal.
