Technical analysis suggests that there may be a significant upswing in the price of Shiba Inu (SHIB), as a prominent trader predicts a surge of up to 52% to reclaim its 12-month high.
Recent data shows a surge in whale activity for SHIB, with a notable increase in large transactions and daily active addresses.
While the altcoin market has been strong in recent months, the memecoin sector has been slow. However, now may be a good time to accumulate SHIB, as its technical setup indicates a potential strong rally in the future.
A well-known trader believes that SHIB could surge by 52% and reach its 12-month high soon. Despite the recent market-wide upswing driven by Bitcoin, SHIB has struggled to surpass and maintain the $0.00001 mark in the past month.
Currently trading at around $0.000009569, SHIB has seen a slight decrease of 2.32% in its overall performance over the past week. However, there are signs of a positive turnaround, with a 1.60% gain in the last 24 hours.
Encouraged by this emerging momentum, a notable figure in the SHIB community, known as “SHIB KNIGHT,” is optimistic about the asset’s trajectory.
According to the trader, there is a symmetrical triangle pattern forming on the weekly timeframe for SHIB. This pattern suggests that the downtrend may be coming to an end.
Analyzing these patterns, the trader suggests that a breakout from the symmetrical triangle could push SHIB above the $0.00001 threshold, resulting in a rally of 51.4% with a target price of $0.000014.
Historical data shows that SHIB last reached the $0.000014 range exactly one year ago. Therefore, the trader expects SHIB to reclaim this 12-month high in the near future. However, SHIB KNIGHT cautions that the breakout signal has not been fully confirmed yet, and the situation is still developing.
There has been a significant increase in whale activity for SHIB recently. According to data from IntoTheBlock, large transactions involving SHIB have seen a 454.16% uptick in the past day, totaling an impressive $112.96 million. Within 24 hours, there were 34 large transactions, each exceeding $100,000 in value.
The volume of large transactions has increased from 2.18 trillion SHIB on Feb. 21 to 11.77 trillion SHIB on Feb. 22, the highest level in the past week. Additionally, the number of daily active addresses has risen by 25.33% to 3,710, indicating increased activity within the Shiba Inu blockchain. Large transaction volumes provide insights into the total amount transacted by whales on a given day, and a surge in such volumes may indicate significant activity, whether it be buying or selling.
The introduction of SHEboshi, an ERC-404 token, and the increase in daily transactions on Shibarium have gained attention from cryptocurrency enthusiasts worldwide. With SHEboshi quickly depleting its stock after launch and Shibarium approaching 4 million daily transactions, optimism in the SHIB market has been boosted by these advancements in its cryptographic ventures.