Despite recent lackluster performance amid price declines, indicators are pointing towards a potential comeback for the meme coin Shiba Inu (SHIB).
The meme cryptocurrency could be gearing up for a significant recovery in its value, pending the realization of a crucial network data indicator.
According to cryptocurrency analytics platform Santiment, Shiba Inu has been identified as one of the major undervalued assets in the market currently. This assessment is based on the MVRV Z-Score metric, which highlights the discrepancy between market price and asset value.
Analysts at Santiment noted that Shiba Inu appears oversold, with its MVRV Z-Score signaling undervaluation. Essentially, this suggests that traders are holding onto the cryptocurrency at a loss.
“According to the MVRV Z-Score, which identifies overvalued and undervalued assets based on average trader returns, the top caps are categorized as follows: Overbought – Toncoin, Bitcoin, Ethereum. Underbought – Uniswap, Shiba Inu,” stated Santiment.
Historically, periods of cryptocurrency undervaluation have often been followed by significant price recoveries.
At the time of reporting, the price of Shiba Inu stood at US$0.00001702, reflecting a 0.9% decline over the past 24 hours.
Coinbase, a leading cryptocurrency exchange, has initiated a significant move to introduce futures contracts related to popular altcoins on its derivatives platform, as announced on June 28. In a substantial development towards this initiative, the exchange has filed five new futures product registrations with the Commodity Futures Trading Commission (CFTC), including Polkadot (DOT), Shiba Inu (SHIB), Stellar (XLM), Avalanche (AVAX), and Chainlink (LINK). The anticipated start date for trading these products is July 15.
Disclaimer: The opinions expressed in this article, including those of any individuals mentioned, are for informational purposes only and should not be construed as financial or investment advice. Investing or trading in cryptocurrencies carries a risk of financial loss.
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