Shiba Inu Price Prediction: Could SHIB Enter a 17x Rally from the Current Buy Zone?

The meme coin market showed early signs of strength as Bitcoin (BTC) surged above $88,000, sparking optimism across altcoins. Despite this momentum, Shiba Inu (SHIB) price predictions say it is yet to gain significant action. SHIB price, at press time, traded at $0.0000123 after a 2.8% decline.

However, analysts believe SHIB price is on the verge of a powerful breakout. A forecasted 17x rally, plummeting exchange supply, and rising open interest suggest bullish momentum may be building for the popular meme coin.

Analyst Predicted 17x Rally from the Current SHIB Buy Zone

Crypto analyst CryptoELITES recently highlighted a SHIB “buy zone” that could signal a key turning point. The analyst projects a potential surge between 14x and 17x from the current price levels. If this forecast materializes, SHIB price could climb as high as $0.00021, marking a historic rally.

The projection depends on Shiba Inu price maintaining its lower trendline support and reclaiming resistance near the 0.618 Fibonacci level, currently at $0.00003. A breakout above this zone could push SHIB price toward the $0.000085 level and possibly erase a zero from its current valuation.

Technical indicators further support this outlook, with the top altcoin price currently consolidating around historically strong support zones. These zones have previously triggered significant price increases, strengthening the case for a potential breakout based on the current chart structure.

SHIB Supply on Exchanges Hits Record Lows

On-chain data provided by Santiment revealed that SHIB’s exchange supply has dropped to unprecedented lows. This reduction suggested that fewer tokens are available for immediate sale, often a precursor to a supply squeeze when demand rises. Such conditions can lead to strong upward price momentum.

The current supply trend mirrored past accumulation phases, notably in mid-2021 when SHIB’s limited supply led to a sharp upward move. Fewer tokens on exchanges typically reflect investor confidence and reduced selling pressure. This supports a stable environment for bullish momentum to grow.

As the supply of SHIB tokens in circulation withdraws from exchanges and into wallets or HODLer addresses, price crashes become less probable. These dynamics support the analyst’s narrative that Shiba Inu price may be in the last stage of the accumulation phase before the big breakout.

SHIB Open Interest Surges 43% in Two Weeks

Data from Coinglass indicated that SHIB’s open interest has jumped by 43% in just two weeks. The outstanding open derivative contracts have increased from $ 94 million to $ 135 million. This can be attributed to the fact that traders are anticipating a big market move.

Higher open interest indicates active participation in the futures and options markets, which could mean that the participants are eagerly waiting for an upside breakout. However, it also introduces leverage-related risk. Interestingly, a surge in volatility could trigger both large gains and steep liquidations, depending on the direction of the market move.

However, the increase in open interest is an indicator of more optimism in the short-term future of SHIB. This supports greater market involvement and, thus, is in line with the other bullish indications noted in the on-chain data metrics and technical indicators.

Analyst Highlight Strong Accumulation Zone

Additionally, crypto analyst SHIB Knight mapped this accumulation pattern for SHIB price currently present at $0.00001270.

On the price chart, Shiba Inu formed a horizontal pattern, typical of consolidation and indicating the preparation for the upcoming movement. The analyst had to call for such a setup as one that ‘will make history again.

The accumulation zone has remained quite steady, with intraday price up to around 2.75%, confirming that the buyers are taking positions at these levels. This remains similar to prior SHIB price cycles, with accumulation resulting in the meme coin rally.