Shiba Inu is showing signs of life after a massive price downtrend. This development is seen across the board, with almost all altcoins resulting from an uptick in Bitcoin BTC price.
If the current trend continues, SHIB price is likely to continue heading higher.
Shiba Inu’s price is currently indicating what seems like the start of a reversal pattern. This move comes after SHIB’s price crashed 43% over the past two weeks and dipped below the $0.00000625 support level.
This sweep of the said demand barrier allowed market makers to collect liquidity. Therefore, the current setup shows a high chance that the reversal pattern will be successful.
While it is apparent that Shiba Inu’s price might rally 18% to tag the resistance level at a price of $0.00000727, it is unsure if the bulls can push past it. If the buyers manage to produce a decisive 9-hour candlestick pattern close above $0.00000727, it will serve as a confirmation of the uptrend.
In such a case, SHIB price might even tag the 50% Fibonacci retracement level at $0.00000870, roughly a 40% upswing from the current position of $0.00000619.
While the optimism around the recent uptick in Shiba Inu price is good, it is overly dependent on the pioneer cryptocurrency. Therefore, a potential yet sudden spike in selling pressure that pushes Bitcoin BTC price lower could ripple out into a crash for SHIB.
If such a move were to occur, leading to a breakdown of the range low at a price of $0.000000518, it would invalidate the bullish thesis.
In some cases, the selling pressure might even push Shiba Inu’s price to $0.00000420.
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