, the world’s second-largest crypto meme coin, appears bullish despite its recent price decline of over 18%.){kind=link}
Key Insights:
- SHIB price may see massive upside momentum as the four-hour chart flashes a bullish divergence.
- The recent price crash appears to be a retest of a bullish inverted head and shoulders pattern.
- Shiba Inu (SHIB) could remain bullish as long as it holds the key support level of $0.000014.
Shiba Inu (SHIB), the world’s second-largest crypto meme coin, appears bullish despite its recent price decline of over 18%. The meme coin’s daily and four-hour charts show a strong bullish signal, indicating that the price is on the verge of a massive rally, as long as it holds above the $0.000014 level.
Current Price Momentum
As of writing, SHIB was trading near $0.00001456 and had recorded a price decline of 1.7% over the past 24 hours. Although the decline was notable, the price has shown an impressive recovery and may soon turn the loss into a positive gain
This ongoing price recovery in the SHIB meme coin appears to be garnering significant attention from traders and investors, resulting in a 15% jump in trading volume.
SHIB Burn Rate Jumps by 17,930%
The potential reason behind SHIB’s price recovery is the formation of a bullish price pattern on both the daily and four-hour time frames, along with a surge in the token burn rate, which increased by 17,930% in the past 24 hours.
According to the SHIB burn rate website, over 49.04 million SHIB tokens have been permanently burned, or in other words, removed from circulation. This process is considered a bullish sign, as a notable amount of tokens have been taken out of the supply.
Shiba Inu (SHIB) Price Action and Upcoming Levels
According to the TradingView chart, SHIB appears bullish and is poised for a massive upside rally. On the daily chart, SHIB has formed a textbook-style falling wedge pattern and is on the verge of a breakout.
Another factor contributing to the bullish outlook is the earlier breakout of an inverted head and shoulders pattern, which has now been successfully retested, with the price beginning to move in an upward direction.
Besides the daily time frame, the four-hour chart of SHIB also shows a strong bullish divergence, indicating a potential massive price surge in the coming days.
SHIB Price Prediction
Based on recent price action and historical patterns, if the meme coin continues to hold above the $0.000014 level and closes a four-hour candle above $0.0000153, there is a strong possibility that SHIB’s price could soar by 35% to reach the next resistance at $0.000020 in the coming days.
Meanwhile, on the daily time frame, SHIB has formed a bullish engulfing candlestick pattern, indicating that a massive rally could be on the horizon.
SHIB’s bullish outlook will remain valid only if it stays above the 200 Exponential Moving Average (EMA) on the four-hour time frame and the $0.000014 level. A breach below these levels would invalidate the bullish thesis.
Expert Views on SHIB
Looking at the current price action, a well-followed crypto analyst shared a post on X (formerly Twitter), stating that SHIB has the potential to reach the $0.000035 level in the future, while highlighting the $0.000014 level as a strong support area for the meme coin.
Bullish On-Chain Metrics
This bullish price action has been garnering attention from traders and investors, who seem to be strongly betting on the upside and accumulating SHIB, as reported by the on-chain analytics firm [Coinglass].
$1.15 Million Worth of SHIB Outflow
Data from spot inflow/outflow shows that exchanges have witnessed an outflow of $1.15 million worth of SHIB tokens over the past 24 hours. This substantial outflow indicates potential accumulation by long-term holders or investors amid the ongoing bullish price recovery.
73% of SHIB Traders Go Long
Meanwhile, another on-chain metric reveals that traders have been dominating SHIB and are eyeing an upside rally. At press time, the Binance SHIBUSDT Long/Short ratio stands at 2.69, indicating strong bullish sentiment among traders.
This metric further shows that 72.93% of traders on Binance are currently betting on the long side, while 27.7% are on the short side.