- Shiba Inu’s price trend has been downward since its December 2023 peak of $0.00001193.
- A bullish signal emerges as the TD Sequential indicator shows a “buy” sign, and SHIB hovers around key Fibonacci levels.
In recent weeks, the Shiba Inu (SHIB) cryptocurrency has faced a persistent bearish trend, marked by a succession of lower highs and lower lows. The Shiba Inu (SHIB) token, which hit a local high of $0.00001193 on December 16, 2023, has been on a consistent downtrend since and has been marked by a series of lower highs and lows. However, a recent analysis by Ali Martinez has ignited hopes of a shift in this downward trajectory.
Martinez’s analysis relies on the TD Sequential indicator, a tool renowned for identifying potential inflection points in asset prices. This indicator has now presented a “buy signal” as a green nine. It hints at the possibility of the prevailing bearish trend taking a breather and potentially paving the way for a bullish run.
Critical to understanding the potential bullish scenario are Fibonacci retracement levels. The SHIB price is currently hovering around the 0.5 Fibonacci retracement level, marked at approximately $0.009281. These horizontal lines, including 0.236 ($0.010696), 0.382 ($0.009913), 0.618 ($0.008648), and 0.786 ($0.007747), denote areas where support or resistance might come into play.
Analyzing the chart, Martinez suggests that SHIB could rise to the $0.010 mark or extend its gains toward $0.011. These price levels align with the 0.236 and 0.382 Fibonacci retracement levels, respectively, making them key potential resistance points. A successful breach above these levels could validate the bullish signal provided by the TD Sequential indicator.
Martinez states,
“The TD Sequential indicator has proven remarkably precise in predicting Shiba Inu price movements. Currently, it’s flashing a buy signal, hinting that SHIB could be gearing up for an upswing. Keep an eye out, as SHIB could climb to $0.010 or potentially even reach $0.011!”
SHIB KNIGHT’s Insight: A Reversal in the Making?
Adding to the optimism surrounding SHIB, market analyst SHIB KNIGHT, an insider in the Shiba Inu community, brings attention to the token’s apparent trend reversal on the 2-hour chart. By presenting a SHIB/USDT chart, SHIB KNIGHT emphasizes the shift in the token’s trend following an extended period of decline.
$SHIB is breaking downtrend at 2H Chart pic.twitter.com/XN3R2EjJEm
— $SHIB KNIGHT (@army_shiba) January 29, 2024
SHIB KNIGHT’s analysis also suggests that SHIB might be on the brink of a sudden and substantial price surge.
Downtrend Since December: Seeking Stability
The Shiba Inu price has endured a notable downward spiral since mid-December 2023. During this period, it plummeted from the $0.00001195 mark to a recent low of $0.000009, marking a substantial 25% decrease. This decline has been characterized by the token’s ability to find support around the $0.00000840 level.
Remarkably, this level coincides with the 61.8% Fibonacci retracement and an ascending support trendline. Over the past three months, this dynamic support trendline has consistently offered a stable platform for buyers during market downturns.
As the SHIB price flits between converging trendlines, there is palpable anticipation of a decisive breakout. Such a move could signify a directional rally, injecting newfound optimism into the SHIB market.
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