Shiba Inu gears up for a surge: analysis
2024-11-05

Shiba Inu (SHIB) has shown strong bullish signals, recently breaking out from a falling wedge pattern on its daily chart. This breakout suggests a potential shift in momentum for SHIB as it pushes toward higher levels.

At press time, SHIB trades around $0.00001735, up 3.21% over the last 24 hours. 

The token now faces immediate resistance at $0.00001911, with a more challenging barrier at $0.00002869. Therefore, a successful breakthrough could confirm sustained bullish momentum.

SHIB’s recent breakout from a descending wedge pattern, a classic bullish reversal, hints at renewed strength. The chart reveals SHIB nearing its first resistance at $0.00001911, and momentum indicators seem to support this upward trend. Should Shiba Inu clear this level, it will then face a stronger barrier at $0.00002869. 

Consequently, breaking through both could indicate a longer-term bullish trend, potentially drawing more market interest. However, this setup will need follow-through momentum—can SHIB capitalize on this breakout?

Analyzing SHIB’s Stochastic RSI reveals an optimistic picture. The Stochastic RSI sits at 27 (blue line) and 20 (orange line), hinting at an oversold condition that often precedes a price rebound.

Additionally, the MACD supports this momentum shift. The MACD line is approaching zero, showing early signs of a bullish crossover. Therefore, the combination of the Stochastic RSI and MACD signals points to potential buying pressure. 

With strong technical support from indicators like the Stochastic RSI, MACD, and a bullish long/short ratio, SHIB appears poised to continue its upward trend.

If SHIB can break through the critical resistance levels at $0.00001911 and $0.00002869, it is likely to sustain its rally and possibly attract greater market interest. For now, SHIB seems ready to push higher and could solidify its bullish momentum in the near term.