Shiba Inu Finally Breaches Crucial Region Posing Roadblock to $0.000081

Shiba Inu (SHIB) currently trades at a critical juncture after recently breaching the resisting trendline posing a roadblock to a substantial surge.

This is according to an update from market analyst Javon Marks, who recently analyzed SHIB’s current price momentum. Notably, the update comes up amid an observable rebound within the broader crypto market, as Shiba Inu rides on the recovery to stage its own campaign.

Earlier Shiba Inu Analysis 

As reported by The Crypto Basic, in an earlier analysis nearly a week ago, Marks identified a massive falling wedge pattern forming on the daily chart. He highlighted that SHIB was approaching the convergence point of this pattern. For context, this region often leads to potential breakouts.

He also pointed out the confirmation of a bullish divergence. According to Marks, these indicators suggested that SHIB could be on the brink of a bullish breakout, potentially sparking a rally with a target of $0.000081. 

The pattern formed following Shiba Inu’s drop from the $0.000045 yearly peak in early March, with the price action becoming increasingly compressed as it approached the apex. This compression often indicates that the sellers are losing momentum, setting the stage for a reversal. 

SHIB Finally Stages a Breakout

Fast forward to his recent update, Marks confirmed that SHIB had indeed broken out of the falling wedge pattern. Shiba Inu staged a breakout amid an impressive run that began on Monday, Aug. 19. Interestingly, SHIB recorded three consecutive intraday gains from Aug. 19 to 21, spiking 6.52% within this period.

Meanwhile, a massive 8.82% intraday surge on Aug. 23 confirmed the breach above the falling wedge. This breakout is especially significant, as falling wedges typically signals bullish reversal patterns, especially when they occur after a prolonged downtrend. 

Notably, the breakout has prompted Marks to reiterate his bullish outlook on SHIB, maintaining that the target of $0.000081 remains in play. He now sees a potential upside of over 432%, indicating that the journey towards this target may have already begun.

In addition to the wedge pattern, the chart shows an increase in volume during the breakout, which further confirms the strength of the move. Volume is a critical factor in validating breakouts, as it indicates that there is genuine buying interest behind the price movement. The analyst also identified a bullish divergence involving the RSI.

Meanwhile, Marks’ chart outlines potential price action following the breakout. In the near term, the next significant resistance level appears to be around $0.000032, which could serve as an interim target. Beyond this, if the bullish momentum continues, SHIB could potentially rally towards $0.000081.