- Shiba Inu price has witnessed an astronomical rally, as it surged over 200% since October 23, recording a new all-time high.
- The buyers are not done with aiming for higher targets, as SHIB projects a 76% rally.
- The prevailing chart pattern suggests a bullish projection of a 400% bull run after Shiba Inu price sliced above its upside trend line.
Shiba Inu price has had a spectacular rally of over 200% since slicing above the governing bullish technical pattern on October 23, reaching a new all-time high at $0.00008825. SHIB continues to target bigger aspirations, as the prevailing chart pattern suggests that the token’s bull run is not over yet.
Shiba Inu price sets higher targets
Shiba Inu price reached a new record high following a break above the resistance trend line given by the bull pennant on the daily chart. The conservative target given by the prevailing chart pattern suggested an 80% climb from its topside trend line, projecting a rally toward $0.00005085.
However, SHIB bulls managed to exceed buyers’ expectations, which means that the optimistic target given by the governing technical pattern is on the radar, with a 400% rally from the breakout line toward $0.00014369.
Shiba Inu price is halfway on the road toward the bullish target, as SHIB already surged 200% from the upper boundary of the bull pennant.
If SHIB bulls continue to incentivize Shiba Inu price to move higher, the next target for the token is at the 127.2% Fibonacci extension level at $0.00010617, then at the 161.8% Fibonacci extension level at $0.00012873 before the token reaches its bullish target at $0.00014369.
SHIB/USDT daily chart
Investors should note that the Relative Strength Index (RSI) is indicating that Shiba Inu price is overbought, which could prompt a correction for the token. The Arms Index (TRIN), which gauges overall market sentiment, also suggests that traders are engaging in more selling activity as they continue to lock in gains following the token’s tremendous run.
As a result, SHIB could retrace and consolidate until a massive surge in buying pressure occurs. Shiba Inu price would discover immediate support at the 78.6% Fibonacci retracement level at $0.00007448, then at the 61.8% Fibonacci retracement level at $0.00006352. Further selling pressure could see the canine-themed token drop toward the 38.2% and 23.6% Fibonacci retracement levels, at $0.00004813 and $0.00003861, respectively.
An additional reliable foothold will emerge at the October 7 high at $0.00003543, coinciding with the 21-day Simple Moving Average (SMA).
Shiba Inu Price Analysis: The SHIB Token Drops To The 0.618 Fibonacci Retracement Level; Will This Rally continue now?
The correction phase in the SHIB token took its sweet time to stabilize our famous meme coin. The token price has been dropped to the 0.618 FIB level, which has the potential to provide strong support. Over the past week, the token price was also subjected to some positive news, which has captured the attention of several crypto investors.
Key technical points:
- The SHIB token price obtains dynamics resistance from the 20-day EMA
- The intraday trading volume in the SHIB token is $2.35 Billion, indicating a 41.5% gain
Source- SHIB/USD chart by Tradingview
As mentioned in my previous article on SHIB/USD, the token price gave a bearish breakdown from the symmetrical triangle of the 4-hour time frame. This pattern pushed the token price back to the crucial support of $0.35.6, which also holds a great confluence with other technical levels.
These technical levels are
- A strong horizontal support level of $0.356
- The presence of the 0.618 FIB level
- The 100 EMA line soon be reaching the token price
The crucial EMA levels(20, 50, 100, and 100) still maintain an uptrend in this token. The Relative Strength Index(43) suggests a bearish trend within this token. However, the RSI line also projects a bullish divergence, indicating the bears are trying to take control over the token.
SHIB/USD Chart In The 4-hour Time Frame
Above I have explained the importance of the bottom support level and it is also understandable that a breakout from this level, would create a significant impact on the SHIB token price.
The weekly announcement for Shiba Inu(SHIB)
- Newegg, the Electronic Retail giant, has officially announced on their Twitter page that they would be accepting the SHIB token as a payment in.’
- The SHIB token surpasses the 1 million wallet holders milestone.
Thus, in case the price bounces back from this support level. The crypto trade can notice the 20-day EMA line, and a descending trendline provides dynamic support to the price. Once the price breached this level, the long trader would get an excellent confirmation for the long side.
Shiba Inu finds new friend in Newegg, as online retailer confirms it will accept the token
Meme coin Shiba Inu is determined to prove its dominance in the space and it has done so successfully, so far anyway. From being accepted as a method of payment by prominent companies such as AMC Theaters, to being the first meme coin to get a listing in South Korea, the altcoin has had a good run.
Its community has grown tremendously in the past few months and support has not faltered. Even Shiba Inu pups (i.e. other lesser-known, dog-themed coins ) have surged in market value.
Shiba Inu has a new friend
Electronics retailer Newegg just recently tweeted about its much-anticipated collaboration with Shiba Inu. As per the announcement, it will accept Shiba Inu, the second-biggest canine cryptocurrency in the market. The tweet below sheds light on the news.
Both parties and their executives acknowledged the partnership in a tweet. The timing of this news is certainly an interesting one.
It all started with just rumors where the SHIB’s community was bewildered by the #friendshib hashtag posted by the official Twitter account of the meme cryptocurrency. Rumors about Newegg adding Shiba Inu to its list of available cryptocurrency payment options started doing the rounds last week.
Indeed, this turned out to be a reality. Newegg, the leading tech-focused e-retailer in North America has become quite a name within the crypto community. At present, Newegg supports around 11 cryptocurrencies. Earlier, it even lent support to the daddy canine coin, DOGE.
Well, this news could be the catalyst required for SHIB to recover from its losses. Surprisingly, this certainly was the case. Despite trading in the red zone over the week, at press time, it surged to more than 5% in 24 hours. SHIB was trading at the $0.00003 mark, at the time of writing.
Furthermore, the flagship token has achieved some remarkable feats over a couple of weeks. Of late, it proved to be the top dog as it surpassed the one million holders milestone.
Further, the SHIB community was rather quick to celebrate the said update on Twitter. In fact, Shiba Inu has dominated social media conversations since the digital asset found its way into the limelight a couple of months ago.
This Whale Bought 35 Billion SHIB While Market Was Crashing
Some whales are joining “buy the dip” sentiment by purchasing some SHIB.
During the market sell-off, short-term traders have dropped their positions and exited most markets. The smaller altcoins have experienced a greater loss compared to Bitcoin, including Shiba Inu and Doge.
Shiba Inu market performance
During the global market correction, Shiba Inu lost 16% of its value at the peak but then, shortly after, recovered back at a 10% daily loss, which correlated with Bitcoin’s market performance.
Following yesterday’s sell-off, Shiba Inu gained approximately 30% in one day but then dropped back at 15% daily profit. The token has been moving in a short rangebound since Nov. 26 and has not yet broken through either border of it.
While some whales buy a significant amount of Shib, the market does not seem to react in any way. The volatility of SHIB token remains low as both buying and selling pressure is reduced according to the volume indicator.
Whales are buying more Shib
Before the cryptocurrency market crashed by more than 10% in one day, the 1,000 largest Ethereum wallets dropped more than 8% of their Shib holdings by entering into USDT and other stablecoins on the Ethereum chain.
Currently, whale holding has increased back to pre-correction levels with approximately $1 billion worth of holdings remaining on whale-tier wallets at press time. Shiba Inu’s price does not seem to react in a positive way, while the token trades at $0.000038 and 0.72% growth in one day.