- Shiba Inu (SHIB) has broken out of a falling wedge pattern, and analysts predict a rally toward the $0.000016 level.
- Analyst Rich X Cult identifies $0.00001242 as a prime entry point.
- Analyst Javon Marks is also bullish, calling for gains of up to 156% based on technical patterns.
Shiba Inu has staged a bullish breakout from a falling wedge pattern, drawing attention from analysts who believe the move could set the stage for further meaningful gains.
According to market analyst Rich X Cult, Shiba Inu’s breakout could lift the token toward a short-term target zone between $0.00001471 and $0.00001600. At press time, SHIB changes hands at $0.00001365. This now reflects a dip of 2% after the coin briefly touched $0.000014 earlier today. Meanwhile, SHIB remains up 10% over the past week.
The Shiba Inu Breakout
Notably, the initial rally began after SHIB rebounded from lows near $0.00001120 on August 3, breaking through the falling wedge formation. The momentum is reflected in a 4-hour Relative Strength Index (RSI) reading of 83.57, indicating strong buying pressure.
Trading volume has also jumped, with approximately $340 million worth of SHIB exchanged in the past day. In addition, SHIB’s price has now moved above the 50-period moving average, reinforcing the bullish setup.
Key Levels to Watch
In his commentary, Rich X Cult identified $0.00001242 as the immediate support level and his preferred entry point for traders seeking to buy on pullbacks. Holding this level could provide the base for another move higher toward the $0.00001471–$0.00001600 resistance zone, which sits about 13% above current prices. A break above this range could open the door to further upside.
Related: Shiba Inu (SHIB) Flashes Bull Flag: Analyst Predicts Massive Rally and Meme Coin Surge
On the flip side, a close below $0.00001242 could trigger downside risks, with the next support near $0.00001170. The analyst’s trading approach includes entering at $0.00001242 with a stop-loss just below, noting that SHIB’s overbought RSI could lead to short-term volatility before the next leg higher.
Broader Market Views on SHIB’s Prospects
Other analysts are also weighing in with bullish long-term projections. Crypto Mullah points to a larger falling wedge pattern on the 3-day chart, which has contained SHIB’s price since December 8, 2024, when it hit $0.00003343.
Mullah believes a decisive move above the wedge could propel SHIB back to its December high, a rally of about 146.5% from current levels.
Similarly, Javon Marks has highlighted a confirmed bullish divergence on SHIB’s two-day chart. He projects a potential surge of over 156% from the divergence point, targeting $0.000032 in the process. Essentially, Shiba Inu’s latest breakout may be the early stages of a larger trend.
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