SHIB weekly close above this level could catapult bullish breakout

Although Shiba Inu (SHIB) has not had a very successful week, much like many other cryptocurrencies, recent technical analysis (TA) indicators are suggesting that its luck may change after all, provided that the famous dog-themed meme crypto asset manages to meet one crucial condition.

Specifically, Shiba Inu has been “trading inside a descending parallel channel and testing a crucial resistance at the upper boundary of this pattern, around $0.000011, as crypto market analyst Ali Martinez observed in his chart analysis shared in an X post on December 14.

According to the crypto trading expert, “a decisive weekly close above this level could signal a bullish breakout, propelling SHIB towards $0.000014.” On the other hand, facing a rejection here could trigger “a pullback to $0.000008 before the bullish breakout,” as the chart patterns suggest.

SHIB price analysis

At the moment, Shiba Inu is changing hands at the price of $0.000009741, which represents a decline of 1.05% in the last 24 hours, as well as a 3.34% drop across the previous seven days but still a 13.44% advance accumulated on its monthly chart, according to the recent data retrieved on December 15.

Considering its latest movements on the price chart, it seems that this digital asset is leaning slightly toward Martinez’s second option, as it has failed to successfully retest the $0.000011 level. However, it still has enough room until it drops to the $0.000008 level he believes would precede a rally in that case.

Furthermore, it may also feel the positive effect of the SHIB crowd’s excitement triggered by Shiba Inu’s lead developer Shytoshi Kusama making an announcement regarding an upcoming “year-ending surprise,” which he promised to reveal by next week, according to the screenshot of the messages shared by X user LUCIE | Shib.io on December 14.

Additionally, the SHIB supply on crypto exchanges has recently made a significant drop, amounting to 7.58% as of December 12, which could indicate a shift towards self-custody that experts generally consider a positive development as it removes immediate selling pressure, as Finbold reported on December 13.

Disclaimer: The content on this site should not be considered investment advice. Investing is speculative. When investing, your capital is at risk.