Crypto prices are facing headwinds on the debut of Ethereum futures exchange-traded funds (ETFs) in the US. While Ethereum price spiked to $1,750 and Bitcoin to $28,400, Shiba Inu (SHIB) built on support at $0.000007 to support gains to $0.0000757.
According to Bloomberg’s ETF analyst Eric Balchunas, Ether futures ETF products are performing dismally despite the hype with only $2 million in trading volume streaming compared to $200 million within the first 15 minutes of Bitcoin futures ETFs trading in 2021.
Pretty meh volume for the Ether Futures ETFs as a group, a little under $2m, about normal for a new ETF but vs $BITO (which did $200m in first 15min) it is low. Tight race bt VanEck and ProShares in the single eth lane. pic.twitter.com/F9AHtrVcVf
— Eric Balchunas (@EricBalchunas) October 2, 2023
The buy the rumor sell the news narrative appears to be taking shape, considering Ethereum is back to trading below $1,700 while Bitcoin hovers slightly above $28,000. On the other hand, Shiba Inu has erased most of the progress made from Friday to trade at $0.00000742 at the time of writing.
Shiba Inu Burn Rate Jumps 39% Ahead of Triangle Breakout
Shiba Inu burn rate is back in the green with nearly 95 million SHIB burned over the last 24 hours. The SHIB community is fully committed to the burn program to reduce the massive circulating supply that has been blamed for the token’s poor price performance.
According to Shibburn.com, a total of 410 trillion has been obliterated, bringing the total supply from 999 trillion to 589 trillion. About 10 billion SHIB tokens are currently locked in staking contracts, leaving the circulating supply at approximately 580 trillion.
Meanwhile, Shiba Inu price flaunts an ascending triangle likely to trigger an 8% move to $0.00000815 from the neckline resistance at $0.00000757. However, before such a breakout, SHIB must uphold higher support preferably the confluence level created by the 50 Exponential Moving Average (EMA) (red) and the 100 EMA (blue) at $0.00000737.
Traders may want to wait until Shiba Inu price steps above the neckline resistance before placing their buy orders.
The breakout should be accompanied by increased trading volume to be sustainable, otherwise, a bull trap could result in an extended downtrend adding pressure to the ascending trendline support. Note that, trading below this trendline implies that sellers would have the reins, hence Shiba Inu price may not stop at $0.00007 but could trigger a selloff to June’s support at $0.0000065.
The Relative Strength Index (RSI) casts a shadow over the uptrend after the rejection from near-overbought conditions. Unless the RSI rebounds from the midline, an immediate recovery would be a pipe dream which, in turn, may significantly reduce the chances of the ascending triangle breakout to $0.00000815.
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