Miami, Florida – Shiba Inu and Floki both experienced an increase in accumulation despite a negative sentiment on social media. The selling pressure on Shiba Inu was not as strong in the past six weeks compared to previous periods, suggesting a potential shift in market dynamics.
Pepe, on the other hand, outperformed both Shiba Inu and Floki in terms of gains, with a bullish technical bias and a high daily trading volume on CoinMarketCap. This disparity in performance prompted an analysis by AMBCrypto on the on-chain metrics of Shiba Inu and Floki to gauge their potential for a bullish trend.
However, the outlook for both meme coins appears bleak unless Bitcoin can initiate an upward trend, indicating a strong correlation between the performance of these altcoins and the overall cryptocurrency market.
Despite a bearish price trend since mid-March, both Shiba Inu and Floki exhibited signs of an accumulation phase in early April. The failure to defend support levels during the retracement led to a drop in the MVRV ratio, particularly for Shiba Inu, which remained in negative territory.
While Floki managed to maintain a slight profit margin with a MVRV ratio of +0.54%, Shiba Inu’s negative MVRV ratio indicated a challenging time for holders. The increase in mean coin age for both tokens hinted at a potential buying opportunity due to the near-zero or negative MVRV values.
Social media engagement surrounding both tokens remained bearish, with Floki experiencing consistently negative sentiment since late March. In contrast, Shiba Inu showed a slightly positive sentiment in April, suggesting a more favorable market perception among investors.
The comparison of on-chain metrics, including mean coin age, dormant circulation, and weighted sentiment, favored Shiba Inu over Floki in terms of potential recovery. The data pointed to a more optimistic outlook for Shiba Inu compared to its counterpart in the meme coin market.