Shiba Inu (SHIB) recently broke above a key uptrend line, sparking fresh optimism among traders and investors. This breakout marks a significant change in momentum that could pave the way for a potential rally toward the $0.00002045 level. As market With this potential upside, all attention is focused on whether SHIB will be able to maintain its upward trend and achieve this ambitious goal, or will the bears step in and put a stop to this trend?
This article provides an in-depth technical analysis of Shiba Inu’s recent breakout above the trendline, assessing whether it could trigger a rally towards the $0.00002045 target. It will also examine potential price reactions as SHIB approaches this critical level.
In the last 24 hours, Shiba Inu gained over 6%, reaching around $0.00001519. The crypto asset’s market capitalization exceeded $8.9 billion, while the trading volume exceeded $311 million. During this period, the market capitalization increased by 6.59%, while the trading volume increased by 85.23%.
Trendline Breakout: A Bullish Signal for the Shiba Inu Breed?
After breakout above the trend line, SHIB price maintained its bullish momentum, consistently trading above the 100-day basic moving average (SMA) on the 4-hour chart. This continued positive sentiment reflects powerful upside momentum, signaling that bulls are firmly in control and can push the price towards the next significant resistance level at $0.00002045.
Additionally, the Relative Strength Index (RSI) is currently at 73%, which shows that Shiba Inu is in overbought territory. The persistent bribed This condition signals powerful buying pressure, which indicates a continuing powerful upward trend in the market.
On the daily chart, although SHIB is experiencing a short-term pullback, it is trying to move towards the 100-day SMA after successfully breaking above the bearish trendline. The emergence bullish The previous day’s momentum candle indicates a powerful bullish sentiment that could propel the cryptocurrency toward further gains.
Finally, the 1-day RSI indicates that SHIB’s bullish momentum is strengthening, with the signal line moving towards the overbought area after recently crossing 50%. The upward movement of the RSI suggests increasing buying pressure and rising bullish sentiment towards the asset.
Potential Market Reactions: What happens if SHIB reaches $0.00002045?
Potential price reactions to Shiba Inu reaching the $0.00002045 level include a breakout of this level or a potential bounce.
If Shiba Inu breaks above the $0.00002045 level, it could signal the beginning of a sustained bullish rally towards the resistance at $0.00002631. A successful break above this level could push the asset towards the next resistance at $0.00002960, with potential for even greater profits.
However, if the cryptocurrency encounters a rebound at the resistance level of $0.00002045, the price could revisit the previous low of $0.00001272. Once SHIB breaks below this level, supportThis could indicate an additional downtrend, potentially pushing the asset price towards the $0.00000847 level or even lower levels.
Featured image from Unsplash, chart from Tradingview.com
