Shiba Inu Shows Signs of Improvement as Market Sentiment Turns Bullish

Shiba Inu (SHIB), a popular meme coin, has been showing signs of improvement in market sentiment. After finding support around the critical level earlier this week, SHIB recovered slightly and is now trading at $0.0000044 on Wednesday.

The dog-themed meme coin's social dominance has been rising, according to Santiment's Social Dominance metric, which measures the share of SHIB-related discussions across cryptocurrency media. The index has been trending higher since August 16, with a reading of 0.016% on Wednesday.

Derivatives metrics also indicate improving conditions for SHIB. CoinGlass' long-to-short ratio read 1.01 on Wednesday, indicating bullish sentiment as traders are betting the asset's price will rise. Additionally, SHIB funding rates flipped positive on Tuesday, reading 0.0087% on Wednesday.

The technical outlook for SHIB suggests a potential recovery if it holds above the key $0.0000043 level. If daily support at this level holds, SHIB could extend its recovery toward the 50-day Exponential Moving Average (EMA) at $0.0000046. However, if it closes below the daily support, it could extend the correction toward the next key psychological level of $0.0000040.