Price Analysis: SHIB Signal End of Correction Pattern, Is 48% Rocket Next?
The Shiba Inu price experienced a 2.7% surge during Friday’s trading session, reaching $0.000018. This bullish movement is attributed to the restoration of Uptober rally sentiment as Bitcoin approaches the $70,000 mark. The emergence of the Inverted Head and Shoulders pattern indicates a potential end to the correction phase and hints at a forthcoming significant rally.
Shiba Inu Inverted Head and Shoulder Pattern
The Shiba Inu price prediction has been characterized by a sideways trend since mid-June, struggling to break the $0.00002 barrier. However, a closer examination of the daily chart reveals that this consolidation is forming an inverted head and shoulder pattern, a well-known reversal pattern.
This chart pattern, marked by three troughs, suggests that the asset faced demand pressure at the bottom support. During October’s rally, the SHIB price bounced back from $0.00001552 to $0.0000187, signifying a 21.2% growth, with the market cap soaring to $11.04 billion.
Read Also: Shiba Inu Set For An Explosive Comeback Rally Targeting $0.00004
If the pattern holds true, the Shiba Inu price is poised for an additional 8% surge to challenge the $0.00002 neckline resistance of the Inverted Head and Shoulders pattern. Theoretically, this pattern sets a predetermined target by measuring the distance from the middle trough to the neckline and applying this measurement from the breakout point to project potential upward movement.
A successful breach above the overhead resistance will accelerate bullish momentum, potentially leading to a promising 48% rally to reach $0.00003. Furthermore, a potential bullish crossover between the 50-day and 100-day EMA strongly supports the narrative of the SHIB price breakout.
Overview of the Santiment Analysis
As per Santiment report, meme coins like Dogecoin and Shiba Inu are garnering significant attention from traders, with social discussion rates hitting their highest levels in five months. As Bitcoin targets $70,000, speculative traders are increasingly turning their focus to high-leverage meme coins. However, layer-2 coins such as Arbitrum and Optimism are currently being overlooked.
It’s worth noting that historical trends show that crypto assets often move in the opposite direction of major market sentiment. Therefore, while meme coins may continue their current recovery, the risk of a bearish reversal remains a possibility. In case, Shiba Inu price encounters renewed supply pressure at $0.00002, sellers could drive the asset into an extended consolidation phase.
Read Also: Shiba Inu Market Cap Skyrockets, Surpassing $11 Billion After September Decline
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Tolu Zach is a multifaceted professional with expertise in both crypto content creation and medical laboratory technology. With a unique blend of analytical skills and industry knowledge, Tolu navigates the complexities of cryptocurrency while maintaining a pivotal role in healthcare. Trusted for insightful analysis and accurate diagnostics, Tolu excels in diverse fields.
