Ethereum
Shiba Inu, Chainlink, Ethereum CEX reserve plunges, price to recover?
In the latest developments, the 10 best exchange wallets for altcoins like Shiba Inu (SHIB)Chainlink (LINK) and Ethereum (ETH) have seen their holdings decrease significantly since May 27, 2024. To be more specific, Shiba Inu exchange supply decreased by 2.4%, Chainlink by 2.9% and Ethereum by 8.6%.
Additionally, such reductions in foreign exchange reserves are generally interpreted as bullish indicators by traders. Therefore, potential price recovery could be seen for SHIB, ETH, and LINK. Currently, all these cryptocurrencies are struggling with a downward trend.
Shiba Inu (SHIB) Price Analysis
At the time of writing, the SHIB Price was $0.00002175, up 0.38% on Friday, June 14. This price movement places Shiba Inu at a pivotal point, encountering a significant barrier at $0.000022. If Shiba Inu manages to break above this resistance, it could rise to $0.000025, with the possibility of reaching $0.00003.
On the other hand, increased selling pressure could push Shiba Inu down to $0.000021, and it could fall further to $0.00002 if market sentiment deteriorates. While technical analysis indicates that SHIB could enter a consolidation phase. The MACD indicator reveals a convergence towards the signal line, hinting at a possible slowdown or reversal in momentum.
Source: Santiment | X
With the MACD line currently below the signal line, this means weak bullish momentum. Currently, the Shiba Inu RSI is at 37, which suggests a neutral market position, as SHIB is neither overbought nor oversold. However, the RSI is approaching 30, which indicates that an oversold situation is imminent. Following such conditions, the price usually rebounds.
Additionally, reduced Shiba Inu supply due to dwindling foreign exchange reserves and frequent burning could also catalyze a rebound. On the other hand, most oscillators and moving averages on the daily chart emit sell signals. The 50-EMA being above the 20-EMA suggests a potential downtrend.
Read also: Shiba Inu Coin Bull Pulls Ahead As SHIB Burn Rate Increases Further
Chain Link (LINK) Outlook
At the time of going to press, Chain link is trading at $15.32, down 0.90%. This drop triggered long liquidations, which account for more than 95% of total liquidations, signaling a short-term price decline. However, dwindling foreign exchange reserves could lead to a long-term rebound due to reduced supply.
When foreign exchange supply decreases, it often indicates hoarding by investors, which can drive prices higher as supply decreases. Additionally, Chainlink price has made a profit of over 14% over the past 30 days despite the recent bearish turn. Therefore, this could reflect the dynamics of a reversal, as LINK’s open interest has also increased.
Ethereum (ETH) Outlook After ETF Approval
According to Santiment, Ethereum’s exchange supply saw the most significant reduction among the three cryptocurrencies, falling 8.6%. This substantial drop is viewed positively by bullish traders as it may indicate strong accumulation and potential for future price increases.
Recently, Ethereum’s market discourse has also been shaped by regulatory developments. Crypto analyst Michaël van de Poppe highlighted a statement from SEC Chairman Gary Gensler, suggesting that an Ethereum ETF could be listed over the summer. This anticipation signals a final correction before a substantial price rise, according to Poppe.
The approval of Spot Ethereum ETF S-1 deposits is expected to have a profound impact on the price of ETH. This could potentially push the ETH price above $4,000 immediately after the ETF listing. Furthermore, Standard Chartered predicts that this development could even push the price of Ether to over $8,000 by the end of the year. These optimistic forecasts are supported by the expected influx of institutional investments following the approval of the ETF.
Read also: Whales are heavily bagging SHIB, ETH, CRV and others, what’s next?