On December 29, the Shiba Inu coin price rose to a support level of the upcoming wedge pattern. The ongoing depression in the crypto market helped the bull to boost the price by 7.6% in one week and hit the current price of $0.00000852. This bullish rally also breaks the trend line resistance, providing long entry opportunities for interested traders.
A breakout of the wedge pattern sets the Shiba Inu price at a 22% rally. A daily candle that closes below the low will destroy the energy.
The intraday trading value of the Shiba Inu coin was $271 million, representing a loss of 143%. During the decline of the Shiba Inu coin over the past two months, the daily technical chart showed the formation of a bearish wedge pattern. Under the influence of this pattern, the price fell within the two trend lines and reached a low of $0.000007869.
Bullish Breakout for Shiba Inu Coin as Price Recovers in the Crypto Market
In theory, the formation of this pattern indicates a loss of color as the price does not reach the length of the decline. In addition, in view of the recovery in the crypto market since the beginning of 2023, the price of SHIB has increased significantly since last week. Also, the bullish campaign supported by high volumes shows that the buyers are involved in this growth.
Furthermore, the Shiba Inu coin shows an intraday rise of 3%, which is above the resistance level of the pattern. This bullish breakout is the first sign of price recovery and provides a long entry opportunity for interested traders. Therefore, if the break is above the activity level, the traders will raise the price by 22% to $0.0000104. However, rally may face central resistance of 50-day EMA at $0000096 before reaching the mentioned target.
That said, if the daily candle closes below the trend line, the bullish trend will break and the coin price may experience a long correction.
Relative strength index: The daily RSI slope, which represents the strength of the current price action, jumped to the center line. The indicator of 52% shows a positive effect for SHIB. EMA: With resistance at $0.0000086, the 50-day EMA acts as a strong resistance in an attempt to break a potential session.
- Limits – $0.00000865 and $0.0000096
- Support level: $0.0000075 and $0.00000664