Shiba Inu Rallies As Crypto Market Shows Signs of Recovery
coinedition.com 20 August 2024 16:12, UTC Shiba Inu (SHIB), a popular meme cryptocurrency, has recently seen a notable price increase of 5.20%, currently priced at $0.00001383 signaling renewed interest in speculative digital assets. The surge mirrors the broader crypto market, which is currently having a strong green day, with many cryptocurrencies showing positive momentum.
Among these gainers, other well-known meme coins like Dogecoin (DOGE) and Pepe (PEPE) are also seeing significant gains. The market’s overall positive mood hints that investors are once again turning to riskier assets, particularly those with high speculative appeal.
The recent rally in Shiba Inu’s price is supported by key technical indicators that point to potential continued upward movement. A closer look at the price chart reveals that SHIB has broken out from its recent support level at $0.00001321, which had previously acted as a crucial point of recovery. This support level is significant as the price dipped to this level but quickly rebounded, indicating strong buying interest among investors.
In addition, another minor support level was observed at $0.00001332, where the price briefly consolidated before continuing its upward trend. If the market experiences a pullback, this level might provide temporary support before the price potentially resumes its ascent.
On the resistance side, SHIB is currently testing the $0.00001383 level. This price point could serve as immediate resistance, and a successful break above it might indicate further bullish momentum.
Historically, SHIB faced resistance around $0.00001368, a level it eventually surpassed. If the current upward trend continues, this former resistance level could now act as a support, offering stability in the event of a price retracement.
Analyzing the broader trend, SHIB is showing clear bullish momentum, with increasing trading volumes suggesting heightened buying pressure. This bullish sentiment is further supported by the positive trend observed after the price bounced off the $0.00001321 support level.
Should the price manage to break above the $0.00001383 resistance, it could enter new uncharted territory, potentially leading to even higher gains.
However, a look at the Relative Strength Index (RSI) for SHIB on a 1-week chart shows a reading of 41.02. This suggests that while SHIB is approaching oversold territory, it has not yet reached a strong buying position.
Additionally, the Moving Average Convergence Divergence (MACD) indicator, currently trading below the signal line, hints at possible downward momentum in the short term.
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