With a solid gain of 50% during the last 24 hours, the Shiba Inu rise leads among the largest, managing to outperform major projects such as Binance USD or Polygon in market capitalization.
At the time of this writing, the SHIB cryptocurrency is trading at $0.0000347, reaching a capitalization of $19,070 million to occupy the TOP 13 in the Crypto Online ranking.
This coin has performed even better than Dogecoin over the past few days as some positive news fuels the Shiba rally.
Steven Cooper, CEO of Bigger Entertainment (a company that focuses on crypto burning campaigns), announced last Sunday that the company is organizing a #shibarmy event, which could become the biggest burning party to date. , which is scheduled to be held this coming February 14.
In addition to that positive catalyst, a blog post from Shiba developers, indicates that a testnet of the layer 2 protocol called Shibarium, could be launched very soon.
All this has been generating a very encouraging technical picture, which we will be analyzing in detail below.
Shiba Inu soaring creates a strong reversal signal
After falling over 80% from its all-time high of $0.0000845, SHIB is now confirming a bullish transition for the first time in three months, heralding the resumption of the previous strong trend this coin was carrying.
After the recent rise of Shiba Inu, the price managed to break through the immediate resistance that we can see on the weekly chart, located at $0.00003. Furthermore, we see that the downtrend line that functioned as resistance throughout the pullback was broken through as well.
It now seems quite likely that the cryptomeme could make more profit in the coming days/weeks. Even expecting new all-time highs doesn’t seem that far-fetched at this point.
Although we are seeing the beginning of a bullish reversal, the bulls still cannot claim victory. To confirm that the buyers have regained control, the resistance at $0.000038 must be broken through; this behavior would also lead the price to break above the 8-week EMA and 18-week SMA that are currently bearish.
Short-Term Key Levels
From this time frame we can see more clearly the significant bullish intention of the last two days, capable of achieving a short-term bullish transition.
The fast moving averages have crossed to the upside on this Shiba Inu chart. Furthermore, the slow 200-day SMA was also rebounded, further supporting the positive scenario for this coin.
We now see the price challenging a resistance at $0.000034. If it goes through it, the ground would be cleared to $0.000038. It is likely that a correction is about to occur, however, it is not a good idea to sit and wait for it.
All our publications are of an informative nature, so in no case should they be accepted as investment advice.
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