Over the past three months, the Shiba Inu coin price action has shaped into a rounding bottom pattern. This pattern consists of three phases, a downfall, consolidation(accumulation), and uptrend, displaying a U-shaped recovery. In theory, this pattern can be seen as a sign that the selling pressure in the market has diminished, and that buyers are starting to enter the market, pushing prices higher.
Key Points:
- A bullish breakout from the $0.000014 neckline of rounding bottom pattern set the Shiba coin price for a 40% jump
- According to the RSI indicator, this meme coin has entered an overbought region and a correction is needed
- The intraday trading volume of the Shiba Inu coin is $1.12 Billion, indicating a 75% gain.
Source- Tradingview
From the January 1st low of $0.000008, the new year recovery surged the Shiba Inu coin price 75.5% higher to reach the current price of $0.000014. During this rally, the buyers breached multiple resistance which in return has switched to viable support and bolster further price growth.
Moreover, today, the SHIB price witnessed a significant inflow and recorded a 12% intraday price jump. The Shibarium builder, Unification, may have influenced this sudden price increase by revealing their progress layer-2 solution in a recent blog post.
Thus, with a massive bullish candle and growth in volume, the SHIB price breached the $0.000014 neckline of the rounding bottom pattern. If the daily candle closes above the mentioned resistance, the buyers will get a strong footing to support their further growth.
In an ideal bullish scenario, this breakout may push the SHIB price 40% higher to hit the $0.00002 psychological barrier. In addition, the potential rally may face minor resistance at $0.00001522 and $0.0000178.
On a contrary note, if the buyers failed to sustain above the $0.000014 mark and drop lower, the Shiba coin price could witness a minor correction.
Technical Indicator
MACD: The Moving Average Convergence Divergence indicator identifies changes in momentum and trend. A bullish crossover between the indicator’s MACD(blue) and signal(orange) as seen above indicates the growth in underlying bullishness and a higher possibility of price recovery.
EMAs: the rising 20-day EMA offers dynamic support to the fast recovery SHIB price.
SHIB Coin Price Intraday Levels
- Spot price: $0.000014
- Trend: Bullish
- Volatility: Low
- Resistance level- $0.00001522 and $0.0000178.
- Support level- $0.000014 and $0.00001255
Main content of the article:
The Shiba Inu coin price has surged 75.5% since January 1st, and recently experienced a 12% intraday price jump. This price increase was likely influenced by Unification’s recent blog post revealing their layer-2 solution. The SHIB price has broken the $0.000014 neckline of the rounding bottom pattern, and may reach a 40% increase to hit $0.00002. Technical indicators such as MACD and EMA are indicating a bullish trend, with resistance levels at $0.00001522 and $0.0000178 and support levels at $0.000014 and $0.00001255.
