Shiba Inu price breakout is still in play after the U.S. spot Bitcoin ETFs surpassed the milestone of holding over 1 million BTC. The implications for the broader crypto market, including Shiba Inu, are profound. This event signals the growing institutional interest in Bitcoin and raises questions about how assets like SHIB could react to it.
U.S ETFs Breach 1M BTC As Shiba Inu Price Slides 3%
The SHIB price has fallen 3% in the last 24 hours to $0.00001855. This decline comes after Bitcoin’s price slid to a daily low of $71,430. However, the king of crypto is up once again and is trading at $72,219.
This happened while the total amount of BTC held by the U.S. spot Bitcoin ETFs surpassed 1 million. According to data from Soso Value, the total net asset value (NAV) for U.S. BTC ETFs stands at $72.46 billion, which, at the current BTC price, means the ETFs hold 1,003,337.07 BTC. This is equivalent to 5.21% of all Bitcoin in circulation.
ETF analyst Eric Balchunas noted that the surge of over 1 million BTC was sparked by BlackRock’s iShares Bitcoin ETF (IBIT), which recorded the largest daily inflow of $875 million.
Pretty apropos that the biggest daily inflow ever for $IBIT is what pushed the US spot ETFs over the 1 million bitcoin held mark.. https://t.co/6RuTzdacIs
— Eric Balchunas (@EricBalchunas) October 31, 2024
American investors are now the second largest BTC holders behind Satoshi Nakamoto at 1.1 million BTC.
Impact of U.S ETFs Inflow on SHIB Price
The inflow of capital into the U.S. Bitcoin ETFs is significant for Shiba Inu’s price and the rest of the crypto markets because it signifies that traditional investors are becoming exposed to cryptocurrencies.
When investors dip their feet into the crypto arena through ETFs, they enjoy reduced risk from the volatility of the real crypto market. Despite their indirect investment in Bitcoin, the effects are real. For instance, in the past four weeks, the U.S. Bitcoin ETFs have recorded over $5.6 billion in inflows, coincidentally aligning with a BTC price surge. Consequently, the Shiba Inu price rose by 20% during the same period.
Also, while a bit outstretched, if a Shiba Inu ETF were to be approved, the traditional and institutional investors already exposed to crypto via the BTC and ETH ETFs would be readily willing to buy up the ETF, resulting in a massive price swing for the meme coin.
SHIB Price Analysis: 58% Breakout Imminent
Shiba Inu price forecast shows the asst has been in a consolidation phase, trading within a range, with recent bullish momentum bringing it closer to resistance levels. There is an inverse head and shoulders pattern visible, which is a bullish reversal pattern. This pattern signals a potential trend shift if confirmed by a breakout above the neckline (at the resistance level).
Multiple rejections in recent months have shown that the $0.000020 level has historically acted as significant resistance. A breakout above this could lead to a potential upside momentum of 58% to $0.000031.
Conversely, if bears push the price down, $0.000017 will offer support, and failure to hold here could invalidate the bullish setup. $0.0000155 will act as secondary support in case of a breakdown.
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