Shiba Inu’s upward momentum appears set to continue, suggesting that there is still potential for further price growth. Investors are closely watching the ongoing rally with anticipation for future developments.
While major cryptocurrencies like Ethereum and Bitcoin are undergoing a slight correction, with minimal losses of less than 5% in the past 24 hours, Shiba Inu is making waves. In the last two days, it has seen a remarkable 13% increase in its price against the US Dollar (SHIB/USDT chart). This surge is accompanied by a notable increase in burn rate volume, possibly the highest seen throughout the year. Investors are closely monitoring these developments in the Shiba Inu market.
Shiba Inu (SHIB): Technical Analysis and Potential Indicators for Continued Growth
A technical examination of SHIB’s movement suggests the likelihood of a bullish signal known as the Golden Cross. This occurs when the 50-day Exponential Moving Average (EMA) surpasses the 200-day EMA, traditionally indicating robust bullish market sentiment. Should this Golden Cross materialize, it might trigger further positive momentum for SHIB.
SHIB/USDT Chart by TradingView
Currently, SHIB is navigating within an ascending channel, consistently finding support along the lower boundary. The recent peak serves as a reference for potential resistance levels.
Considering the prevailing bullish sentiment, the immediate target could be set at the recent high touched before the recent market correction. Surpassing this level might propel SHIB to challenge the subsequent resistance, extrapolated from the height of prior significant price movements within the channel.
Conversely, monitoring local support levels is crucial. The lower trendline of the ascending channel and the 50-day EMA act as pivotal support zones. Maintaining these levels could confirm the positive trend, while a dip below may prompt a reassessment of bullish expectations.
An essential factor contributing to SHIB’s recent momentum is the significant increase in its burn rate. A staggering surge of over 7,424,294.41% in the last 24 hours indicates a substantial reduction in supply, potentially impacting SHIB’s price valuation. Such a pronounced burn has the potential to draw attention and signal increased investor interest.
Important: Please note that this article is only meant to provide information and should not be taken as legal, tax, investment, financial, or any other type of advice.
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