A prominent crypto analyst has recently drawn attention to a potential bullish movement in Shiba Inu’s price, indicating that the digital asset could experience a significant rise. According to the analysis, the price could increase by over 400%, potentially reaching $0.000074 if the current bull flag formation plays out as expected.
On Thursday, Shiba Inu, like much of the cryptocurrency market, faced downward pressure due to broader macroeconomic factors. The meme-inspired cryptocurrency saw a decline of over 5%, reaching $0.00001616, as Bitcoin temporarily dropped below the $60,000 mark. However, despite the general market conditions, some analysts are pointing to signs of a possible reversal for Shiba Inu.
Shiba Inu’s Bull Flag Breakout
In a recent TradingView analysis, the analyst emphasized Shiba Inu’s breakout from a bull flag pattern observed on the SHIBUSD 5-day chart. The bull flag structure had been forming since March when the token hit a yearly high of $0.000045. Following the price jump to $0.00002169 on September 28, the bull flag became more defined.
The analyst highlighted the relevance of this breakout, pointing out several other factors that support the likelihood of an upward price move. One of these factors includes the relative strength index (RSI), which, according to the analyst, is displaying bullish momentum. The RSI on the 5-day chart currently stands at 54.7, suggesting that the asset is in a strong upward trend.
Additionally, the analyst mentioned a potential trend reversal, with the price action beginning to challenge the prevailing bearish sentiment. He noted that this reversal further signals a positive shift in the Shiba Inu price, bolstering the case for a bullish rally.
Drawing a comparison to past events, the analyst referenced a similar price movement earlier in the year. In January, Shiba Inu also broke out from a bull flag pattern, which ultimately led to a 406% increase in price, culminating in the March high.
Based on this historical performance, the analyst predicted a similar outcome, expecting the price to exceed previous highs and rise by 400% to $0.000074.
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Supporting Predictions from Other Analysts
This optimistic outlook aligns with forecasts from other market analysts. For example, Alan Santana, another crypto expert, has predicted that Shiba Inu could soon reach $0.00007. Santana pointed to the current phase of heavy accumulation in the market, which he believes usually signals the beginning of an upward price trend.
Similarly, another analyst Javon Marks, suggested that Shiba Inu could surpass the $0.000074 mark and reach $0.00008. He based his projection on a pattern he identified—a breakout from a falling wedge that has been forming since March.
These independent analyses share a common theme: the belief that Shiba Inu could experience a substantial price increase despite recent market turbulence. While each analyst has focused on different aspects of the market behavior and chart patterns, they all point to the possibility of a bullish rally in the near future.
Potential Impact on Shiba Inu Investors
If the predicted price movements materialize, Shiba Inu holders could see significant returns on their investments. A 400% increase would bring the token back into the spotlight after months of relatively modest price movements
However, it is important to note that while technical patterns like bull flags and falling wedges can provide insights into potential market behavior, they do not guarantee outcomes.
Disclaimer: This content is meant to inform and should not be considered financial advice. The views expressed in this article may include the author’s personal opinions and do not represent Times Tabloid’s opinion. Readers are urged to do in-depth research before making any investment decisions. Any action taken by the reader is strictly at their own risk. Times Tabloid is not responsible for any financial losses.
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