Shiba Inu (SHIB), the self-proclaimed “Dogecoin killer,” has had a rollercoaster week. After a delightful double-digit price surge in the past seven days, the memecoin encountered a sudden bear attack in the last 24 hours, dropping nearly 3%.
A Bullish Week Cut Short
CoinMarketCap data confirms the initial bullish momentum, with SHIB’s price climbing almost 10%. However, the last day brought a shift in the narrative, with the memecoin facing a price decline. At the time of writing, SHIB sits at $0.00002386, boasting a market cap exceeding $14 billion.
Interestingly, despite the weekly gain, investor sentiment seems to be souring. SHIB’s Weighted Sentiment has dipped into negative territory, indicating a decrease in positive social media buzz. Social Volume has also dwindled, suggesting waning public interest.
But hold on to your dog-eared leashes, SHIB hodlers! There’s a potential silver lining. A bullish technical pattern has emerged on SHIB’s chart. Since early March, the memecoin has been consolidating within a bullish flag pattern.
Currently, SHIB is testing the resistance level of this flag. A breakout could trigger another significant bull run in the coming days.
Breakout or Breakdown? Analyzing the Indicators
To gauge the likelihood of a breakout, Analysts delved into Santiment’s data. A slight increase in selling pressure was observed, reflected in the rising Supply on Exchanges metric.
Another bearish sign is the declining MVRV ratio, suggesting the market might be overheated. However, a glimmer of hope emerges from the whales. The supply of SHIB held by top addresses has seen a marginal increase, hinting at potential accumulation.
Also Read: Is PEPE Pulling a Dogecoin? Memecoin Slumps After 1400% Weekly Spike
Not all indicators are singing the bear blues. The Money Flow Index (MFI) and Chaikin Money Flow (CMF) have both taken a bullish turn, suggesting a potential influx of capital. However, the Relative Strength Index (RSI) leans towards the bearish side.
Potential Price Targets Post Breakout
If a breakout materializes, what price targets can SHIB investors realistically aim for? Hyblock Capital’s data suggests an initial climb to $0.000026. This level might trigger some profit-taking, leading to a slight price correction. However, a further breakout above this point could propel SHIB towards $0.00003 in the coming weeks.
Shiba Inu stands at a crossroads. Will the bulls overpower the bears and trigger a breakout from the bullish flag pattern? Or will the current dip escalate into a more prolonged bearish trend? Only time will tell. But one thing’s for sure: the coming days will be a test of faith for SHIB investors.
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