Gushiken Yona
A striking pattern is emerging on the Shiba Inu (SHIB) chart, fueling speculation of a significant price rally. One analyst, citing a bullish technical setup, points to the potential for a 7x increase in value.
SHIB Triangle Breakout and Double Bottom
The analysis, published on TradingView by user “Crypto Tagon,” focuses on the SHIB/USD pairing on the weekly chart. A dominant feature of this chart is a large, multi-year triangle pattern, spanning approximately 3.5 years.
Shiba Inu is currently testing and seemingly rebounding from the lower boundary of this triangle. This test of support coincides with what Crypto Tagon identifies as a “Double Bottom” formation, with the recent low matching a previous low established on August 5, 2024. In technical analysis, both the triangle pattern and the Double Bottom are often considered bullish indicators, suggesting a potential reversal of a downtrend.
RSI Signals Echo Previous SHIB Price Surge
Beyond the price chart patterns, Crypto Tagon points to the 1-week Relative Strength Index (RSI), a momentum oscillator, as further evidence of a potential bullish move. “The 1week RSI is on a similar sequence as February-May 2023, which eventually rose aggressively by +661.50%,” the analyst observed.
This prior period was followed by a significant price increase in SHIB, exceeding 660%. While past performance is not indicative of future results, the similarity in RSI patterns adds another layer to the bullish argument.
Analyst’s Price Target: A Potential 7x Increase for Shiba Inu
Based on this confluence of technical indicators – the long-term triangle support, the Double Bottom formation, and the RSI sequence – Crypto Tagon presents a bullish outlook for Shiba Inu. The analyst’s price target for SHIB is $0.00008450, a substantial increase from its current trading range. This target, if reached, would represent an approximate 7x increase from the price levels observed at the time of the analysis.
Shiba Inu (SHIB) traded at $0.00001282 early Thursday, reflecting a 1.73% gain on the day and a more substantial 5.03% increase over the past week. This positive price action, as of 4:09 a.m. ET, coincided with a 46.38% spike in 24-hour trading volume, reaching $196.1 million. The disproportionate increase in volume compared to price suggests a potential accumulation phase, where buyers are entering the market without yet triggering a major price breakout. Data from CoinMarketCap indicates a circulating supply of 589.25 trillion SHIB, contributing to a market capitalization of $7.54 billion.
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Yona has no crypto positions and does not hold any crypto assets. This article is provided for informational purposes only and should not be construed as financial advice. The Shib Daily is an official media and publication of the Shiba Inu cryptocurrency project. Readers are encouraged to conduct their own research and consult with a qualified financial adviser before making any investment decisions.
