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Shiba Inu (SHIB), the second largest memecoin by market capitalization, saw an 8% daily rise following Bitcoin’s rise to $70,000. Amid market volatility, the token is attempting to regain a key resistance level, which could propel the price towards a 110% rally.
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Shiba Inu will soon see a 110% increase
Shiba Inu’s recent performance has seen the cryptocurrency post red numbers over several time frames. Following the most recent market pullback, SHIB fell 13% to its weekly low of $0.00001632 recorded on November 3.
However, the token rebounded 12% from its seven-day low price, regaining the resistance level of $0.000018 on Thursday. SHIB’s performance is seemingly fueled by BTC’s recent jump to the $70,000 mark, which propelled the memecoin above the $0.00001855 resistance before retracing.
Additionally, the token’s daily activity increased by 67% over the past 24 hours, with a daily trading volume of almost $730 million.
Some market observers have highlighted Shiba Inu’s recent performance, suggesting that the token is gearing up for a massive rally in the coming days. The Globe of Crypto analyst said that SHIB is positively considering retesting the strength of the Descending Broadening Wedge pattern.
According to the article, if the one-day candle rises above the $0.000019 resistance level, the memecoin could see a breakout of the formation. This area was a crucial rebound level for Shiba Inu’s 136% rally in early March.
As a result, the analyst believes that a successful breakout and recovery of this level could trigger a “100-110% bullish wave,” which could propel the price towards the $0.000040 area.
Is $0.000081 the next big target?
Crypto analyst Javon Marks predicted a 351% surge towards all-time highs (ATH) in SHIB. The analyst noted that Shiba Inu broke out of a multi-month downtrend in early 2024, which propelled the price toward first-quarter highs.
Since then, memecoin has moved into another descending wedge formation over several months after seeing a 70% correction from its yearly high of $0.000043. SHIB broke out of this trend towards the end of the third quarter, sparking the token’s 58% month-over-month rally.
Despite the recent market retracement, the analyst notes that Shiba Inu has held above breakout levels, confirming “an uptrend with the RSI on the daily chart.” Marks considers memecoin’s next rise to be in its early stages, setting the rally target at $0.000081.
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Likewise, another market watcher shared his positive outlook regarding the Shiba Inu price. Analyst Investing Haven suggested that SHIB’s current levels are not cause for concern since there are “no long-term trend violations.”
For the analyst, memecoin levels to watch are between $0.0000133 and $0.00001444 as loss of this support zone could signal a change in trend. However, Shiba Inu must reclaim the $0.000020 mark to continue its upward trajectory.
At the time of writing, SHIB is trading at $0.00001828, an increase of 8% on the daily time frame.
Featured image from Unsplash.com, chart from TradingView.com
