Shiba Inu (SHIB), the popular dog-themed meme coin, is gaining traction with a strong price surge following a bullish reversal pattern on the daily time frame. After breaking out from a long-standing descending trendline, SHIB confirmed a bullish inverted head and shoulders formation, signaling the potential for further upside momentum.
SHIB Technical Analysis: A Shift to Bullish Territory
The breakout from the resistance level has turned SHIB bullish, shifting its market sentiment from a prolonged downtrend to a potential uptrend. According to technical analysis from CoinPedia, if SHIB successfully closes a daily candle above the crucial $0.0000138 level, the meme coin could witness a substantial 45% rally, pushing its price toward the $0.000020 mark in the near future.
Despite this promising development, SHIB remains below the 200-day Exponential Moving Average (EMA), indicating that a sustained breakout is required to confirm a long-term trend reversal. However, the Relative Strength Index (RSI) currently stands at 55, suggesting strong momentum and ample room for further price appreciation.
SHIB’s Current Market Performance
At the time of writing, SHIB is trading around $0.0000139, reflecting a 2% increase in the past 24 hours. Additionally, its trading volume has surged by 6%, showcasing heightened participation from traders and investors.
Key Liquidation Levels and Market Sentiment
On-chain data from Coinglass reveals that traders are highly leveraged, with key liquidation levels at $0.0000132 on the lower end and $0.00001413 on the upper end. Bullish traders have accumulated over $1 million in long positions, while short positions stand at $270.50K. This over-leveraged positioning suggests that bulls are currently in control, potentially fueling further price appreciation in the upcoming sessions.
Also Read: Shiba Inu (SHIB) Price Prediction: Can It Hit $0.089 by 2040?
Shiba Inu’s recent breakout and increased trading activity indicate a growing bullish sentiment. However, the meme coin must maintain its momentum and secure a strong close above key resistance levels to sustain its rally. With market participants closely watching SHIB’s next move, the coming days could be crucial in determining its long-term price trajectory.
Disclaimer: The information in this article is for general purposes only and does not constitute financial advice. The author’s views are personal and may not reflect the views of Chain Affairs. Before making any investment decisions, you should always conduct your own research. Chain Affairs is not responsible for any financial losses.
I’m a crypto enthusiast with a background in finance. I’m fascinated by the potential of crypto to disrupt traditional financial systems. I’m always on the lookout for new and innovative projects in the space. I believe that crypto has the potential to create a more equitable and inclusive financial system.
