Shiba Inu (SHIB) is teetering on the edge of a massive breakout, likely breaking free from a five-month-long stagnation. The momentum behind this memecoin is gaining strength as investors rally to push its price higher.
Evidence of this can be seen in CoinGlass data, which shows a consistently positive funding rate—a clear sign that optimism is brewing among traders.
The positive funding rate is very telling, as it shows traders are willing to pay a premium to maintain long positions, expressing a bias for bullish sentiment. This is against the uncertainty and volatility that have pretty much come to define SHIB over the past several months.
Further establishing SHIB’s upside potential is the Chaikin Money Flow, which underlines higher capital inflows over the last six weeks. It reveals that there is a continuing inflow of investment into this token, suggesting increasing confidence in the memecoin’s recovery and future growth potential.
SHIB’s Price Action
Adding to the excitement, CoinMarketCap’s weekly chart reveals a pattern of higher highs and higher lows, reflecting the solid bullish sentiment surrounding SHIB. This positive momentum is also mirrored on the daily chart, where the token’s price action strengthens.
As of press time, the dog themed coin traded at $0.00001476, marking a 4.61% increase on the daily chart and a 13.07% gain over the past week. The token’s market cap has also surged to $8.699 billion, securing its position as the 13th largest cryptocurrency by market capitalization.
Meanwhile, its 24-hour trading volume has climbed by 6.52%, reaching the $214 million mark.
SHIB Can Reach $0.00005: Analyst Points Out
Shiba Inu is positioning itself for a possible breakout following a period of quiet, sideways trading that has caught the attention of savvy investors. This phase of low volatility and waning trading volume often indicates that big players silently gather the memecoin, deliberately avoiding any significant price shifts.
CryptoCheck, a top analyst on TradingView, has applied the Wyckoff Method’s accumulation phase to the dog memecoin’s current chart, revealing signs of calculated price containment within a tight range.
This pattern is oddly reminiscent of a similar accumulation phase seen between late 2023 and early 2024. That period paved the way for an astonishing 386% surge in the memecoin’s value in just two weeks.
Given the memecoin’s current consolidation phase, it seems the conditions are ripe for another historic move. CryptoCheck has pinpointed an optimistic target of $0.00005, representing a huge leap from its present value of $0.0000143.
If history is any guide, Shiba Inu might be on the verge of another dramatic surge, echoing the remarkable gains witnessed earlier this year.
Also read: Daily Crypto Update: Market finds stability before the week ends
Credit: Source link