Can Bullish Recovery Sustain Above $0.000012?

The Shiba Inu (SHIB) technical chart offers an opportunity to end the ongoing consolidation phase with the bullish breakout from the Inverted H&S pattern. However, an immediate resistance of $0.000013 stalled the current bull run, where sellers attempted to invalidate the bullish pattern. Thus, the coin traders should wait for daily candle closing before picking up a side. 

 Key points: 

• The SHIB market value has soared 63% since last month
• The 20-and-50-day EMA is approaching a bullish crossover
• The intraday trading volume of the Shiba Inu coin is 958 Million, indicating a 22% gain.

Source- Tradingview

While the crypto market grappled with uncertainty over the past two months, the SHIB/USDT pair showcased the formation of an inverted head and shoulder pattern. This bullish reversal pattern highlight two important support in the coin chart, one at the head portion, i.e., $0.00000745, and another at the right shoulder portion of $0.00001

Furthermore, as the positive sentiment is returning in the crypto market, the SHIB price rebounded from the $0.00001 support zone with a bullish engulfing candle. Moreover, the resulting run-up surged the altcoin 30% higher to its current level of $0.000012.

During this recovery, the SHIB  price gave a massive breakout from the $0.000012 neckline resistance, offering an early sign of recovery. Furthermore, a daily candlestick above the breached resistance is needed to confirm a genuine breakout.

From a theoretical point of view, the reversal pattern forecasts a 32.78% upswing to $0.0000175.

On the contrary note, the high-wick rejection candle at the immediate resistance at the $0.000013 barrier undermines the bullish momentum and threatens the $0.000012 breakdown.

Therefore, safe traders may wait for a $0.000013 breakout before positioning them for a long trade.

Technical indicator

Vortex indicator: the rising OBV indicator shows increasing interest in long positions trade market pa. Thus, more buyers entering the market should bolster the $0.000013 breakout.

Bollinger band indicator: the sudden price jump breached the indicator’s upper band reflects aggressive buying from traders. However, retest or breakout from the overhead resistance of the hand encourages a minor retracement.

• Resistance levels- $0.000013, and $0.000017
• Support levels: $0.00000121 and $0.0000099