The crypto winter is ending for Shiba Inu as bullish chart structure leaves SHIB poised to take off!
A steady growth away from a deep rounded-bottom pattern has seen the SHIB army push a substantial 60% gain so far in 2023.
Wednesday’s Fed meeting saw Powell promise ‘data driven’ decision making that encouraged traders. But despite a bullish week across markets, this sentiment has done little for SHIB. Current price hovers astride resistance levels at $0.00001249.
Some media pundits had raised concern that the bullish momentum behind Shiba Inu’s climb had exhausted. Others even predicted a lower slide.
Our analysts disagree. Price action as we approach the weekend sings a different tune. Afterall, it is not uncommon for Altcoins to experience a ‘lag effect’ behind macro trends.
TradingView / SHIB/USD
SHIB bulls have engaged in a 10 day battle, facing intense resistance at $0.000012. Despite 4 major green wicks, price has continued to sit fearful of breaking higher.
But a strong bounce testing the 200-Day MA (lower support trend) on Thursday has given a much needed boost.
Price action today has rocketed upwards through the resistance at $0.000012. A strong reaffirmation of the bullish pendant depicted by current movements.
Exciting talk around the release of highly-anticipated ecosystem Layer-2 Shibarium (now in beta testing) could give bulls the news they need to push higher into breakout territory,
Shibarium will enable faster and cheaper transactions. This will enable significantly more development in the Shiba ecosystem – with special interest surrounding the opening of avenues for a competitive DEX offering.
How high could a SHIB breakout go?
A breakout here could be likely, the Bollinger bands are tightening. Rallies from this level have a few local points of reference to inform upside potential.
Back on October 29, a bullish move from here hit heights of $0.000015. And on August 14 a similar breakout hammered all the way up to $0.000018.
This provides a suggested rally top of $0.000015 – $0.000018. An exciting potential +43% upside gain.
Our local support level (if the 200-Day MA gives way) likely sits at $0.000011. A downside risk of -20%.
The Risk/Reward structure for current price action is 2.17 – an interesting proposition for the profit hungry.
Looking at key indicators for further illumination suggests little.
The RSI 14 has produced an overbought signal today at 62.9.
The RSI hasn’t overheated during this 10-day period of resistance testing at $0.000012. Suggesting a critical flow of continued buying pressure exists to keep this rally fuelled up.
As for the MACD? 0.00000006 – minor bullish divergence after a reassuring demonstration of support from the 200-Day MA.
While the picture is improving for Shiba Inu (SHIB), it may still take several months for it post some substantial returns. So far anyone looking for high-potential alternatives, we’ve listed the top 15 cryptocurrencies for 2023, as analyzed by the CryptoNews Industry Talk team.
The list is updated weekly with new altcoins and ICO projects, so be sure to check back for new entries.
Disclaimer: The Industry Talk section features insights by crypto industry players and is not part of the editorial content of cryptonews.com.