The price of Shiba Inu (SHIB) has broken above its two-month decline, indicating a possible upswing. This development follows two days of 41% and 15% rallies in rival meme coins to SHIB, namely PEPE and FLOKI. Though it is joining the bull rise late, the Dogecoin Killer, also known as SHIB, is indicating a possible decline prior to a trend reversal.
Shiba Inu price set to rally, following other meme coins
In the past two months, the price of Shiba Inu (SHIB) has produced five lower highs and four lower lows. However, due to the recent rise in purchasing pressure, SHIB broke the trend line connecting the lower highs. This action suggests that the market’s structure may change in the bulls’ favor.
Investors should anticipate that in the future, the altcoin will retrace to the support levels of $0.00000709 and $0.00000705, allowing the Relative Strength Index (RSI) to retest the 50 mean level. Sidelined purchasers can take advantage of such a slump to stockpile SHIB before an upswing takes off.
Additionally, the bullish momentum will have a chance to gain traction by rebounding off the RSI’s 50-mean line. The first hurdle, around $0.00000840, is likely to be tested again by the ensuing rise. The bearish breaker, which spans from $0.00000871 to $0.0000102, is located beyond the previously mentioned resistance level. If the Shiba Inu price retests the lower limit of this structure, selling pressure is probably going to be applied.
A retest of the $0.00000871 level would constitute a 22% gain.
The price of Shiba Inu (SHIB) must bounce off the $0.00000709 and $0.00000705 support levels in order for the uptrend to continue, and the RSI must do the same with the 50 mean level. The bullish argument would be refuted if this formation gives in to profit-taking and a surge in selling pressure, breaking down with a daily candlestick close below it.
The price of the Shiba Inu can then fall by almost 7% and retrace its steps to the swing low of $0.00000661 on October 19.