Shiba Inu posted significant gains following Bitcoin’s rebound from the $60,000 threshold. The leading cryptocurrency climbed approximately 9.72% in the last 24 hours to recapture the $70,424 at the time of writing. The recovery pulled traders back into speculative altcoins, with SHIB emerging as a primary beneficiary.
The meme token’s price movement reflects its characteristic tendency to amplify Bitcoin’s directional trends. At press time, Shiba Inu is trading at around $0.000006235, suggesting a 9.07% increase in the last 24 hours.
Bitcoin’s Stabilization Drives Altcoin Demand
Bitcoin’s price recovery serves as a critical anchor for broader market sentiment. When the flagship cryptocurrency stabilizes following volatility spikes, institutional capital typically flows back across digital asset markets. Retail participants follow suit by rotating into higher-risk tokens capable of outpacing Bitcoin’s percentage gains.
The improved mining profitability and increased exchange activity that accompany Bitcoin rallies create favorable conditions for altcoin trading. This ecosystem strengthening benefits tokens like Shiba Inu that depend on overall market liquidity.
Large holders moved capital off the sidelines Friday as Bitcoin held support above $70,000. Trading volumes increased across major exchanges, signaling renewed appetite for risk assets within the crypto sector.
Market Weakness Hit Meme Tokens Hard
Shiba Inu experienced substantial pressure earlier this week as market-wide liquidations affected speculative positions. The token broke below technical support levels during Bitcoin’s descent, mirroring the broader sell-off in meme-based cryptocurrencies.
Sharp outflows from altcoin positions coincided with Bitcoin’s slide toward $60,000. Traders exited leveraged positions across the board, creating downward price spirals in tokens with thinner liquidity profiles. SHIB fell alongside other high-beta assets before Friday’s reversal.
Source: https://coinpaper.com/14367/shiba-inu-price-jumps-as-bitcoin-climbs-back-to-70-000-after-sharp-sell-off
