The price of Shiba Inu (SHIB) has been on a downward trend since reaching its peak of $0.00001193 in December 2023. However, there are now signs of a potential reversal in this bearish trend.
Market analyst Ali Martinez has conducted an analysis using the TD Sequential indicator, a tool known for identifying potential turning points in asset prices. This indicator has recently presented a “buy signal” in the form of a green nine, suggesting that the downward trend may pause and make way for a bullish run.
To understand the potential for a bullish scenario, it is important to consider Fibonacci retracement levels. Currently, the SHIB price is hovering around the 0.5 Fibonacci retracement level, which is approximately $0.009281. Other important levels to note are 0.236 ($0.010696), 0.382 ($0.009913), 0.618 ($0.008648), and 0.786 ($0.007747), which could act as support or resistance.
Based on the analysis of the chart, Martinez suggests that SHIB could rise to $0.010 or even $0.011. These price levels correspond to the 0.236 and 0.382 Fibonacci retracement levels, respectively, and could serve as key resistance points. A successful breach of these levels would confirm the bullish signal from the TD Sequential indicator.
Adding to the optimism, SHIB KNIGHT, a market analyst and insider in the Shiba Inu community, points out a potential trend reversal on the 2-hour chart. They highlight the shift in the token’s trend after a prolonged period of decline, indicating a possible substantial price surge.
Since mid-December 2023, the Shiba Inu price has experienced a significant downward spiral, dropping from $0.00001195 to a recent low of $0.000009, representing a 25% decrease. However, the token has consistently found support around the $0.00000840 level, which coincides with the 61.8% Fibonacci retracement and an ascending support trendline. This trendline has provided stability for buyers during market downturns over the past three months.
As the SHIB price moves within converging trendlines, there is anticipation of a decisive breakout. Such a move could signal a directional rally and bring newfound optimism to the SHIB market.