SHIB has returned to the limelight once again and is grabbing investor attention.
Javon Marks and other analysts predict that a massive +300% rally is incoming.
Whales have also been accumulating the memecoin and have moved +$300 million in the last week.
Analysts believe that SHIB could be headed for $0.000081 soon—a level last seen since the bull run in 2021.
Shiba Inu, the memecoin sweetheart of 2021 is grabbing the attention of investors again.
Recent technical patterns now show a possible breakout in the SHIB charts. The memecoin could now be gearing up for a major price surge that is similar to that of its previous bull runs.
According to Javon Marks and several analysts, the coin could skyrocket by 342% in the coming months.
This bullish bomb is set to create a fresh wave of optimism in the market, and investors are pumped!
Over the past five months, SHIB has been trading within a falling wedge pattern according to Javon Marks in a recent tweet.
For some context, falling wedges are one of the most bullish chart formations. They typically signal a period of downward consolidation, before a price explosion to the upside.
SHIB according to the charts, is nearing the end of this wedge. Traders are now eyeing a breakout that could launch the cryptocurrency straight up to new heights.
The wedge pattern became visible in March 2024, just as SHIB fell from its yearly high of $0.000045.
However, according to Marks, this setup might have been what SHIB needed to stage a comeback.
The analyst added that SHIB could be on its way to surging by a staggering 342% to $0.000081:
A level last seen during its 2021 bull run.
Several key indicators suggest that the ongoing price movement is building momentum for a rally.
The cryptocurrency currently sits at around $0.00001785 according to CoinMarketCap, with a series of higher lows that show steady growth.
The cryptocurrency is also trading above both its 50-day (red) and 100-day (blue) exponential moving averages.
These alone are major bullish signals for traders.
Trading above the 50 and 100-day EMAs
In addition, SHIB is also trading above its 50-day (red) simple moving average.
This does much to reinforce the view that it is now in a long-term uptrend.
Stuck between the 50 and 200-day SMAs
However, the cryptocurrency’s position underneath the 200-day SMA (blue) might raise some concerns.
At the end of the day, the convergence of these indicators in the same place shows that SHIB is ready to make a sharp movement in either direction.
As SHIB consolidates around its current price, traders should keep an eye on key support and resistance levels.
According to the charts, the token has strong support around $0.000017.
The resistances in this case, sit at around $0.000018 and $0.000019.
If SHIB can break above these resistance points, it could quickly advance toward the expected price target of $0.000081.
Shiba Inu supports and resistances.
Given the cryptocurrency’s historical performance and the technical signals currently in play, there might be reason to believe a pump is incoming (instead of a dump).
Still, traders must watch these price levels very closely.
A consolidation is still very possible before the breakout that Marks mentions.
Plus, the uncertainty of the crypto market means that nothing is guaranteed. A bullish breakout is very likely, but investors must also prepare for the worst.
Adding to the intrigue, on-chain data reveals that SHIB is facing a major price cluster.
IntoTheBlock data shows that more than 45,000 addresses currently hold about 417 trillion SHIB within the $0.000017 to $0.000019 price range.
Addresses holding SHIB
This forms a tight zone of support and resistance.
In essence, the cryptocurrency might either stabilize or see some strong volatility in the near future.
SHIB has also seen its fair share of whale activity over the last few weeks.
On-chain data shows that the cryptocurrency saw large transactions worth more than $300 million in the last seven days.
Shiba Inu’s large transactions
This alone marks a 46.79% increase in transaction volume.
It also shows that the whales are accumulating tokens and that the bulls might be gaining ground against the bears.
On the smaller timeframes, the charts' Fibonacci retracement levels show that the memecoin is currently hovering around the 50% level.
This level often indicates a key point of resistance. If we see a break above, SHIB could be in for another massive price surge.
If we see this breakout, the next targets would be the 23.6% retracement at $0.0000264 and the 38.2% retracement at $0.000022338.
This might ultimately lead to a massive 84% extension towards $0.0000340.
Fibonacci extensions on SHIB
On the flip side, a price reversal downwards could still occur.
If this happens, SHIB has immediate support at $0.000016.
This aligns perfectly with the 61.8% Fibonacci level and could act as a safety net.
If the bulls manage to hold the fort here, they could prevent further losses until SHIB can recalibrate and resume upwards once again.
Disclaimer: Voice of Crypto aims to deliver accurate and up-to-date information, but it will not be responsible for any missing facts or inaccurate information. Cryptocurrencies are highly volatile financial assets, so research and make your own financial decisions.