Even though the Shiba Inu meme coin (SHIB) did not have the best week compared to other cryptocurrencies, technical analysis indicators indicate that luck may still turn for SHIB.
Specifically, Shiba Inu is “trading inside a descending parallel channel and testing critical resistance at the upper boundary of this pattern around $0.000011,” noted analyst Ali Martinez.
According to the expert, “a crucial weekly close above this level could signal a bullish breakout that would push SHIB towards $0.000014.” On the other hand, a pullback from this level could trigger “a decline to $0.000008 before a bullish breakout.”
Shiba Inu is currently trading at $0.000009741, down 1.05% over the last 24 hours and down 3.34% over the previous seven days. At the same time, the meme coin maintains growth of 13.44% for the month.
Given the recent fluctuations on the price chart, it appears that the digital asset is leaning towards Martinez’s second option as it failed to retest the $0.000011 level. However, SHIB still has some room to maneuver until the token falls to the $0.000008 level, which will precede the rally.
Additionally, the SHIB gain could come from the community’s reaction to Shiba Inu lead developer Shitoshi Kusama’s announcement of an end-of-year surprise, which he promised to reveal next week.
In addition, the supply of SHIB on crypto exchanges has recently dropped significantly, eliminating the possibility of immediate selling pressure.