Analyst Predicts 260% Shiba Inu Price Rally, Here’s Why

Shiba Inu price is gaining attention as analysts suggest the token could see a 260% rally in the coming months. Following a bearish phase that saw Shiba Inu fall by more than 37% from its December highs, market analysts now believe the meme-inspired cryptocurrency may be poised for a strong recovery.

Amid this consolidation phase, a whale has withdrawn $4.63 million worth of Shiba Inu from Binance, sparking speculation of a potential upward movement.

SHIB Whale Activity and Resistance Levels

A major transaction involving Shiba Inu has caught the attention of the crypto community. A whale, dormant for five months, withdrew 220 billion SHIB tokens worth $4.63 million from Binance. This significant move came amid Shiba Inu’s struggle to reclaim the $0.000025 price level during the holiday season.

Data from IntoTheBlock indicates that Shiba Inu faces two key sell walls preventing it from reaching the $0.00003 range. The first resistance zone, between $0.000023 and $0.000024, involves 42,310 addresses holding 60.44 trillion SHIB.

Source: IntotheBlock

A larger sell wall lies between $0.000024 and $0.000030, where 208,010 addresses purchased 70.35 trillion SHIB. These walls have repeatedly hindered the token’s SHIB price recovery, resulting in pullbacks and sharp declines.

Price Consolidation Signals Potential Breakout

Shiba Inu price has recently entered a consolidation phase after a volatile period. The token is currently trading within a tight range of $0.00002100 to $0.00002300.

Analysts view this consolidation as a potential setup for an upward breakout, especially due to the recent surge in SHIB burn rate and if the broader crypto market shows signs of recovery.

The token’s recent price action aligns with technical analysis suggesting it has found support at $0.00002. This level has been critical in preventing further declines, even as bearish trends persist. RSI and MACD indicators suggest that SHIB price may be regaining bullish momentum, with RSI currently at 56.81, leaning towards a neutral to slightly bullish outlook.

Analyst Predicts 260% Shiba Inu Price Rally

Crypto analyst Javon Marks has identified “textbook bull signals” in Shiba Inu’s price chart, suggesting a strong rally may follow. According to Marks, the token recently broke through a long-term resistance trendline and retested it as support during its recent pullback. This breakout behavior often signals the beginning of an upward trend.

Marks predicts Shiba Inu price could rise to $0.000081 in the short term, representing a 260% gain from current levels. He also noted the presence of hidden bullish divergence, where price forms higher lows while momentum indicators form lower lows. This pattern indicates underlying strength in the asset. “Shiba Inu is holding above its breakout zone, which is a positive sign for potential growth,” Marks stated in his analysis.

Shiba Inu price must overcome two major resistance levels to sustain a bullish rally. The first target is $0.00003, a zone where the token has faced significant selling pressure in previous attempts. If SHIB breaks through this barrier, analysts believe it could reach $0.000081, the next key resistance.

Marks also identified a long-term SHIB price target of $0.000155, a price level that represents an unprecedented high for Shiba Inu. He believes this target could be achievable if market conditions improve and broader bullish trends return.

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Kelvin Munene Murithi

Kelvin is a distinguished writer with expertise in crypto and finance, holding a Bachelor’s degree in Actuarial Science. Known for his incisive analysis and insightful content, he possesses a strong command of English and excels in conducting thorough research and delivering timely cryptocurrency market updates.

Disclaimer: The presented content may include the personal opinion of the author and is subject to market condition. Do your market research before investing in cryptocurrencies. The author or the publication does not hold any responsibility for your personal financial loss.