Up a slight 1.14% on the daily, Shiba Inu (SHIB) price could be on the brink of a rally. If confirmed, this would be the first major SHIB price increase since the memecoin hit $0.000024 twice in January.
As of this writing, the token trades at $0.000013 following a 40% year-to-date (YTD) correction. But after weeks of consolidation, buying pressure seems to be lining up behind the cryptocurrency.
While obstacles remain, most indicators suggest that SHIB’s stagnation phase may end.
First, CCN examines the In/Out of Money Around Price (IOMAP) to spot potential support or resistance. With the IOMAP, one can clearly see the number of addresses and volume of tokens in unrealized profits and losses.
When a larger cluster of tokens is in profits, it indicates support. On the other hand, a higher volume of losses represents resistance.
According to IntoTheBlock, SHIB has major support between $0.000012 and $0.000013. The chart shows that 21,150 addresses hold over 18 trillion tokens in profit, accumulating around $0.000012.
Similarly, at an average purchase price of $0.000013, 17,000 addresses collectively hold nearly 18 trillion tokens, reinforcing the strong support level at these levels.
SHIB In/Out of Money Around Price | Credit: IntoTheBlock
Since the volume at these levels is higher than those between $0.000014 and $0.000015, SHIB’s price will likely trade higher soon.
Bearish Days Left Behind
From a technical perspective, it also seems to be a similar situation. According to the daily chart, SHIB’s price correction from January highs helped form a falling wedge.
A falling wedge is a bullish reversal pattern formed by two converging downward trend lines. In this pattern, the upper trendline represents lower highs while the other — lower lows.
Furthermore, this pattern typically indicates. A potential breakout to the upside once buyers regain control. As of this writing, SHIB’s price has broken above the upper trendline, indicating that buyers are slowly gaining dominance.
The cryptocurrency’s value might climb further if sustained, especially with the rising Money Flow Index (MFI) reading. The MFI measures buying and selling pressure.
When it declines, it indicates selling pressure. However, this recent increase will likely increase SHIB’s price, provided the trend remains unchanged.
SHIB Price Analysis: No More Decline?
Regarding its potential targets, SHIB’s price seems to be flirting with the 20-day Exponential Moving Average (EMA). Typically, the trend is bearish when the price is below the EMA.
However, since the token has slightly risen above it, it could validate an extended upswing. In addition, the Awesome Oscillator (AO) reading remains negative, but it has green histogram bars.
If sustained, this indicates a potential transition from a bearish momentum to a bullish one. Should this trend improve, SHIB could follow the signs shown by the IOMAP and hit $0.000016.
In a highly bullish market condition, the price might break the 0.786 Fibonacci level and climb to $0.000019.
Alternatively, if the token fails to test $0.000016 amid fading buying momentum, this prediction might not happen. In that scenario, SHIB’s price might decline to $0.000011.
Disclaimer:
The information provided in this article is for informational purposes only. It is not intended to be, nor should it be construed as, financial advice. We do not make any warranties regarding the completeness, reliability, or accuracy of this information. All investments involve risk, and past performance does not guarantee future results. We recommend consulting a financial advisor before making any investment decisions.
Victor Olanrewaju is a crypto analyst and reporter at CCN with deep roots in on-chain research and technical analysis. His crypto journey began in 2017, but it was the 2020 Uniswap airdrop that sparked a full-time pivot into the space.
With a foundation in copywriting, Victor honed his craft creating high-converting content for leading crypto brokers — most notably an XRP price prediction that ranked #1 on Google during the 2021 bull run.
He later joined AMBCrypto in 2022, where he combined storytelling with technical and on-chain analysis to cover key market narratives.
In 2024, he expanded his expertise at BeInCrypto, collaborating with analysts and using tools like Glassnode, Santiment, and IntoTheBlock to break down Bitcoin and altcoin trends.
At CCN, Victor covers the top cryptocurrencies, memecoins, macro shifts, blending real-time insights with deep-dive metrics.
He holds a Bachelor’s degree in Physics from the University of Ibadan, equipping him to simplify complex data for a wide audience. Follow his work or connect on LinkedIn or X.
