The price of Shiba Inu and other meme coins faltered this week as recent momentum waned and Bitcoin failed to break through $100,000 resistance. Nonetheless, technical data suggests that SHIB coin could be on the verge of going parabolic after forming four bullish patterns.
Shiba Inu Price Analysis: Technical Indices Suggest Parabolic Rally
The daily chart shows that the Shiba Inu price has formed several rare patterns that portend further gains in the coming days. First, the coin created a falling wedge pattern between March and September. This pattern is composed of two descending trendlines and converging trendlines. The top line connects the lows to the highest, while the bottom line connects the lows to the lows.
Second, Shiba Inu has formed a bullish pennant pattern, shown in green. This pattern features a long vertical line and a symmetrical triangular pattern. A bullish breakout occurs when the triangle is about to reach its confluence level.
Third, the piece features an Elliot impulse wave pattern, consisting of five steps. The first is bullish, followed by a brief pullback, then the third is the longest. The coin is now in the fourth part of the wave, which could give rise to the often very bullish fifth wave.
Additionally, and more importantly, it formed a cup and handle chart pattern. This model has a rounded bottom and some consolidation or indentation. This often leads to a strong breakout as the grip section ends.
Therefore, the SHIB value will likely become parabolic if the coin jumps above the top of the cup. If we measure its depth, the potential Shiba Inu Prediction is $0.00004580, a few points above the year-to-date high.
Conversely, a fall below key support at $0.00002150, its high point on September 27, will invalidate the bullish view on SHIB price. If this happens, it will increase the risk that SHIB falls to $0.000016, its August 24 high.
SHIB Coin has strong fundamentals
Shiba Inu has strong fundamentals that could push it higher in the coming days. It is open term interest have moved sideways since November 10. This performance could be the calm before the storm in the short term.
Millions of Shiba Inu coins are burned every day due to increased transactions in its ecosystem like Shibarium and ShibaSwap. BONE fees in these networks turn into SHIB and burned.
The regulations are clear in the United States, as Donald Trump is about to become president. Just this week, Tornado Cash won a major legal victory as the judges ruled that its smart contract was not the property of a foreign national.
Frequently Asked Questions (FAQ)
SHIB coin formed several technical catalysts like the cup, handle, and bull flag. There are also macroeconomic catalysts such as the election of Trump and the ongoing chip burns.
The most realistic SHIB prediction is where it will climb to $0.000045, its highest point this year. Further gains will be confirmed if it exceeds this level.
Shiba Inu needs to increase by 4.16 million percentage, which is possible, but it is unlikely to happen anytime soon.
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Disclaimer: Content presented may include the author’s personal opinion and is subject to market conditions. Do your market research before investing in cryptocurrencies. The author or publication assumes no responsibility for your personal financial loss.
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