According to the most current market data, Shiba Inu (SHIB) is ready for a strong technical move. After a significant 28% price surge over the previous eight days, SHIB is currently attempting to enter a promising “Golden Cross.”
A Golden Cross, for those who are unfamiliar with the phrase, is one of the trading technical patterns that people look forward to the most. A short-term moving average—typically the 50-day exponential moving average (50 EMA)—crosses over a long-term moving average—typically the 200-day exponential moving average (200 EMA), to signal the occurrence of a trend. This has historically been a positive sign in many markets, pointing to the possible beginning of a strong rising trend.
SHIB’s growth is supported by real changes in the market fundamentals, not merely percentage increases. The much-needed momentum for SHIB has been provided by a significant rise in trading volume, together with greater liquidity and market depth. These elements working together have created the possibility for the Golden Cross.
Why does this matter, though? These moving averages convey the underlying emotion in the market from the perspective of a trader; they are more than simply lines on a chart. Thus, a Golden Cross indicates that the long-term sentiment is beginning to lag behind the short-term mood. This can draw a fresh batch of traders and investors hoping to profit from a possible rising trend.
It is important to keep in mind, though, that even while technical indicators are effective trading tools, the cryptocurrency market is still very unpredictable due to a variety of variables that affect pricing. Before making any financial decisions, investors should always perform their own research and due diligence.
