- Shiba Inu’s price target could be $0.000081, if the falling wedge breakout is confirmed
- On-chain activity has remained strong, but high exchange netflows could signal near-term selling pressure
As a seasoned crypto investor with a knack for deciphering market trends and patterns, I find myself intrigued by the recent analysis on Shiba Inu [SHIB]. The confirmed falling wedge breakout, if sustained, could potentially herald a long-term recovery for this meme coin. However, my experience has taught me that even the most promising technical indicators need to be taken with a grain of salt, especially in the unpredictable world of cryptocurrencies.
As an analyst, I’ve recently observed a confirmed breakout of a falling wedge formation in Shiba Inu [SHIB]. Historically, this pattern is often interpreted as a bullish reversal, potentially indicating a long-term recuperation for the cryptocurrency.
According to well-known cryptocurrency expert Javon Mark, the price goal is set at $0.000081, implying a potential increase of 480%. But it’s crucial to consider whether this anticipated breakout will genuinely initiate a substantial surge in value.
Are Shiba Inu’s technical indicators aligning for a breakout?
Currently, SHIB is valued at $0.00001393 per token, marking a 3.50% increase in the past day. At this moment, its Relative Strength Index (RSI) stands at 57.54, suggesting that there might be further growth potential before reaching overbought levels.
The RSI hadn’t hit the significant 70 mark yet, indicating that the ongoing rally might persist without a quick reversal.
Furthermore, the Bollinger Bands indicated a narrow trading band between $0.00001389 and $0.00001407, suggesting that price activity was becoming more compact. This compression combined with the breakout from a falling wedge pattern hints at a possible bullish trend – Indication of an impending breakout.
Is on-chain activity supporting the bullish outlook?
Recently, there’s been growing investor involvement with Shiba Inu, as shown by on-chain data. In just the past 24 hours, the transfer volume skyrocketed an impressive 2,154.62%, reaching a staggering 2.49 trillion SHIB at this moment. This substantial increase suggests that the Shiba Inu community is becoming more active and involved.
6,178 active Shiba Inu wallets saw a 5.68% increase – Indicating more wallets are engaging in transactions with SHIB. Additionally, the number of transactions surged by 21.05%, reaching 7,315. These on-chain activities suggest growing investor trust in the token, potentially supporting the bullish outlook.
Should investors be cautious about exchange netflows?
Although the data showed a robust pace, there was a potential warning sign in the form of changes in the flow of funds between exchanges.
For the past week, more than 1.88 billion SHIB have been transferred to exchanges – a massive increase of over 15,300% in just the last day. This significant surge suggests that some investors might be planning to offload their tokens, which could lead to increased selling pressure within the market.
In general terms, frequent changes in incoming funds often indicate short-term price fluctuations. Therefore, it’s crucial for traders to keep this aspect in mind while making trades, particularly when dealing with a very speculative market such as Shiba Inu (SHIB).
What does the future hold for Shiba Inu?
Currently valued at approximately $8.21 billion and exchanging hands for around $166.87 million each day, Shiba Inu is poised to make a significant move upward in the market.
However, while the technical setup is promising, the recent spike in exchange deposits calls for cautious optimism.
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2024-09-14 21:11