Shiba Inu Declines but Analysts See 354% Upside Potential to $0.000081
thecryptobasic.com 08 August 2024 12:58, UTC Olivia
Despite a slight recovery in the broader cryptocurrency market, Shiba Inu (SHIB) continues to face challenges, plummeting 4% in the past 24 hours and 16% in the past week.
However, analysts remain optimistic about SHIB’s potential, highlighting a bullish structure that could signal a significant price surge. Notably, analyst Javon Marks maintains a positive outlook, emphasizing a $0.000081 target for SHIB.
His July analysis supports this projection, citing a “confirmed” hidden bullish divergence with the Relative Strength Index (RSI) as an indicator of a potential recovery.
Shiba Inu Hidden Bullish Divergence
Javon Marks’ analysis underscores the importance of the Hidden Bullish Divergence in SHIB’s recent performance. This divergence occurs when the price makes higher lows while the RSI makes lower lows, suggesting strong bullish momentum.
In his July analysis, Marks highlighted that SHIB confirmed this divergence, indicating a possible recovery and continuation. His chart showed a long-term downtrend from the peak in October 2021 to the breakout point in 2023, lasting approximately 448 days. The breakout above the downtrend line marked a potential shift from bearish to bullish sentiment.
Following the breakout, SHIB retested the downtrend line, which now acts as support. Successful retests typically confirm the breakout, indicating potential upward movement.
Later, after breaking the hidden bullish divergence with its RSI, Marks projected a 162% recovery, bringing SHIB back to the $0.0000456 area. Following this, an additional 75% upside could push SHIB to the $0.000081 target, totaling over 354% gains from current levels.
Further Support for SHIB Bullish Sentiment
Similar to Marks’ observation, analyst Armando Pantoja presents a strong case for an imminent surge in SHIB’s value. He emphasizes a bullish RSI divergence that suggests the correction phase is over.
According to Pantoja, SHIB has entered an optimal buying range, presenting an attractive opportunity for investors to capitalize on the current low prices before a projected sharp surge beyond macro resistance. This growing optimism is based on SHIB’s significant retracement from its March gains, which has set the stage for a potential upward movement.
Surge in Social Metrics
Shiba Inu’s recent performance is backed by significant increases in its social and trading metrics. According to LunarCrush data reported by The Crypto Basic, SHIB has experienced substantial growth in social interactions and content creation over the past six months.
Social interactions surged by 2,760%, while the number of social media posts increased by 2,794%. Posts with interactions grew by an impressive 3,467%, and active creators posting about SHIB rose by 2,805%. However, despite this growth, SHIB’s social dominance and sentiment saw declines of 4.3% and 6.8%, respectively.
