The Shiba Inu Token
The shiba inu token was one of the main talked tokens in 2021 which was noticed by its several percentage rise in just a short period. The shiba inu token is known to be a meme token which was named after a dog having the name shiba inu. This token was actually created anonymously in 2020 particularly under the pseudonym “Ryoshi”. This actually meant he is nobody and there was no reason for him to unmask himself or his identity despite the fact that the project is successful or overwhelming.
The main aim of the shiba inu token was to an ethereum based counterpart token to the dogecoin’s scryt algorithm also known to be the dogecoin killer. Based on the polularity this token gain in a short while, many exchanges began listing this token including the famous #Binance Exchange which I will be using for the analysis.
As as I mentioned earlier, the founder of the shiba inu token remained anonymous with the following words in its woofpaper
we started from zero, with zero
The brilliant minds behind shib never collaborated before
we love shiba inu dogs
Furthermore, in the blog of the founder, he characterized himself as just a founder behind the keyboards.
Where to Trade Shiba Inu
We can trade Shiba Inu in several exchanges as the token gained popularity many exchanges did listed them based on the numerous demands and call for. Some include; Binance, Poloniex. Bitfinex, Bitrex and many others.
Statistics on the Shiba Inu token
As to the reason why I am optimistic about this token, I will perform a brief fundamental anlysis showing the various characteristics of the token. The shiba inu token has a market capitilization of $15.26 billion which gives it a market rank of #15 on the coinmarketcap. The token has a total supply of 589.7 Shib and a market dominance of 0.7%. we can see other statistics on the screenshot below.
Technical Analysis on the 1000SHIBUSDT
The 1000SHIBUSDT is the SHIBUSDT which has been multiplied by 1000. The current value of shib stands as 0.000027. for easy trading and manipulation of the figures, the value has been multiplied by 1000 which brings it to 0.002.
My analysis on the shibusdt will be based on the break of a resistance level and the restest of this prices on this level. The confirmation of this signal will be done using the CCI indicator. The CCI indicator shows overbought and oversold levels as we have the prices approaching and crossing the 100 and -100 levels.
My trade entry will be done following the fulfilment of the following criteria.
We have the prices break a previous resistance level and forms a swing high level
The prices then makes a turns and retest on the previous broken level
We confirm the signal with an oversold from the CCI indicator
As the prices makes a sharp turn on this level, we take a buy order.
We can see the formation in the analysis below;
The stop loss is placed a few pips below the resistance level while the take profit is placed at the previous swing high level made by the prices.
My trade execution will be done using the #Binance Exchange. In the trade execution, I will use a cross margin of 20X since my analyis was done using the 5 minutes timeframe.
Stop loss: 0.027
Take profit: 0.028
This shows a risk to reward ratio of 1:1.4
Why I am optimistic about this token
This token being listed among the first 20 token on the coinmarketcap has proven to have a great community and high daily traded volume. This is proven as my take pprofit level is touched in just less than an hour based on its volatility. In this ragards the token is worth trading.
On my advice if I recommmend the trading of this token by other tradders, based on short term trading such as a scalp trader, I do recommend the trading of this token. But based on long term I will not give much of a financial advice since the token has already experience a great uptrend based on the market structure.