- On-chain data showed that Shiba Inu was an undervalued token despite its latest uptick.
- The activities of Ethereum whales suggested that SHIB could be a long-term play.
Shiba Inu’s [SHIB] performance in the last 30 days seemed to have erased the memories of the memecoin’s abysmal performance in 2022. During the said period, SHIB recorded gains of 37.06%.
How much are 1,10,100 SHIBs worth today?
Despite the uptick, the token was still 86.58% down from its All-Time High (ATH). Moreover, in the last 365 days, SHIB’s performance was at a 57.96% decline.
The short and long-term views of Shiba Inu
The condition of SHIB’s long-term value falter could be one reason why many still considered the memecoin as an undervalued asset. Data from the on-chain analytic platform Santiment also seemed to align with the school of thought.
According to Santiment, SHIB’s Market Value to Realized Value (MVRV) z-score was -1.859. The MVRV z-score assessed the deviation between the market and realized cap while providing the overvalued or undervalued state of an asset.
Since SHIB’s z-score was in the red zone, it indicated that the token was undervalued. In action, the current value of $0.000011 was closer to the bottom than it was hitting the top.
On the technical side, the daily chart showed that SHIB could sustain the price increase it had experienced in the past few weeks. This was indicated by the Exponential Moving Average (EMA). At the time of writing, the 20 EMA (blue) was above the 50 EMA (yellow). This was the case as SHIB’s support moved up to $0.00001113.
In the longer timeframe, the 200 EMA (purple) was positioned over the 20 and 50 EMAs. Also, the Chaikin Money Flow (CMF) was at 0.07.
Although it decreased from the previous day, the CMF value signaled that SHIB’s volume was impressive and accumulation was relatively great. Hence, SHIB’s price action could close above the negative region if the CMF trend could hold its position.
Will whales’ foresight be the game changer?
At the time of writing, SHIB was the most traded token by the top 100 Ethereum [ETH] whales in the last 24 hours. This was after Curve Finance [CRV] held the position for a while.
Check the top 100 whales here: https://t.co/N5qqsCAH8j
— WhaleStats (tracking crypto whales) (@WhaleStats) January 20, 2023
Is your portfolio green? Check out the Shiba Inu Profit Calculator
It was noteworthy to mention that Ethereum whales were accumulating the token in massive numbers at press time. Data from WhaleStats also showed that SHIB held the most prominent position by dollar value during the period.
However, there was still extreme fear in the market regarding SHIB accumulation. At press time, whale holdings stood at 504.98 billion SHIB.