Shiba Inu is Poised to Capitalize on the Falling Wedge for the Surge to $0.000034
Shiba Inu is currently forming a falling wedge pattern on the daily timeframe, indicating a potential 50% price spike to the $0.000034 region. Dami DeFi, a prominent crypto commentator and market analyst, highlighted the bearish consolidation of SHIB, suggesting a forthcoming pivotal push reminiscent of the late February upswing.
Shiba Inu Forms a Falling Wedge Pattern
Following a 380% surge from Feb. 25 to March 5, Shiba Inu reached a yearly high of $0.00004567. However, market turbulence and declining momentum caused SHIB to retreat from this peak, resulting in a nearly 50% drop from the March 5 high.
Dami’s analysis suggests that the correction could be beneficial for Shiba Inu as it has formed a falling wedge during the drop, indicating a potential reversal of the current downtrend and the possibility of an upward price breakout.
Shiba Inu Exchange Reserve Drops
With sustained increase in exchange outflows since May 5, there are indications that the selling pressure on Shiba Inu could be easing. On-chain data from CryptoQuant also shows a significant decrease in SHIB reserve on exchanges since Feb. 29, signaling a trend of investors moving their SHIB tokens to self-custodial solutions for long-term storage.
Shiba Inu Exchange Netflow | Coinglass
However, on-chain data sourced by CryptoQuant shows that Shiba Inu reserve on exchanges (blue line) has dropped extremely since Feb. 29. Data shows that SHIB exchange reserve currently settled at 151.3 trillion, down from 164.5 trillion on Feb. 29. This confirms that investors have withdrawn 13 trillion SHIB from exchanges market since Feb. 29.
Race to $0.000034 Target
This decrease in exchange reserves reduces selling pressure and could potentially strengthen price action. Dami anticipates a substantial price gain for Shiba Inu once it breaks out of the falling wedge, with an immediate target of a 50% surge to $0.00003456.
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Shiba Inu is currently trading at $0.00002304, down 0.17% over the last 24 hours amidst a broader market decline. Derivatives data for SHIB shows mixed signals, with a 26% drop in volume to $228 million and a modest 1.22% increase in Open Interest to $66.9 million. SHIB’s immediate target is to surpass the $0.00002350 to hedge against potential steeper declines.
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Dr. Olajide Samuel juggles the demands of medical studies with a passion for cryptocurrency. A seasoned blogger, Olajide shares his vast global knowledge of the crypto space, offering insights to enthusiasts. Despite his busy schedule, his commitment to crypto remains strong, and he actively seeks ways to contribute to its future.
