Shiba Inu (SHIB) Break From Bitcoin Signals Market Strength

2 mins
Updated by Bary Rahma
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In Brief

  • Shiba Inu's price is primed for a rally that could result in the meme coin rallying by nearly 43%
  • SHIB's correlation to Bitcoin is declining, which could result in an escape from BTC's bearishness.
  • MACD has formed double bottoms on the daily chart, exhibiting the potential of a breakout.
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Shiba Inu’s price shows signs of a massive rally but is awaiting a bullish trigger, which might come sooner than expected.

Consequently, the meme coin could note new highs, provided it manages to breach through some crucial resistances.

Shiba Inu to Jump on the Charts

Shiba Inu’s price is currently trading within a symmetrical triangle pattern aided by increasingly bullish market cues. The first of these is the Moving Average Convergence Divergence (MACD). This trend-following momentum indicator is used to identify potential buying and selling opportunities.

At the moment, this indicator is exhibiting receding bearishness. The double bottom formed by its bars on the histogram indicates increasing bullishness in the market. This would be confirmed once a bullish crossover occurs.

Shiba Inu MACD.
Shiba Inu MACD. Source: TradingView

Secondly, the meme coin is attempting to chart its own path, escaping the influence of the biggest cryptocurrency in the world, Bitcoin. The correlation SHIB shares with BTC, despite being positive, is declining at the moment.

This shows that the dog-inspired token could be deviating from the bearish cues set by Bitcoin. Such a development would help the cryptocurrency to rise.

Read More: 6 Best Platforms To Buy Shiba Inu (SHIB) in 2024

Shiba Inu Correlation with Bitcoin.
Shiba Inu Correlation with Bitcoin. Source: TradingView

SHIB Price Prediction: Ready to Rally

Shiba Inu’s price is in a symmetrical triangle pattern at the time of writing, changing hands at $0.00002744. A symmetrical triangle pattern is formed by converging trendlines, indicating a period of consolidation. It usually hints at an upward or downward breakout, signaling a potential continuation of the previous trend.

SHIB is close to breaking out, and based on the targets set by the pattern, the meme coin could chart a 43% rise. This would send Shiba Inu’s price to $0.00004816.

Read More: How To Buy Shiba Inu (SHIB) and Everything You Need To Know

SHIB/USDT 12-hour chart.
SHIB Price Chart. Source: TradingView

However, if the altcoin fails to breach a flip, the resistances marked at $0.00003063 and $0.00003500 could fall back. Falling through the lower trend line of the pattern would cause an invalidation of the bullish thesis, pushing SHIB to $0.00002400.

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Disclaimer

In line with the Trust Project guidelines, this price analysis article is for informational purposes only and should not be considered financial or investment advice. BeInCrypto is committed to accurate, unbiased reporting, but market conditions are subject to change without notice. Always conduct your own research and consult with a professional before making any financial decisions. Please note that our Terms and ConditionsPrivacy Policy, and Disclaimers have been updated.

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Aaryamann Shrivastava
Aaryamann Shrivastava is a technical and on-chain analyst at BeInCrypto, where he specializes in market reports on cryptocurrencies from diverse sectors, including Telegram Apps, liquid staking, Layer 1s, meme coins, artificial intelligence (AI), metaverse, internet of things (IoT), Ethereum ecosystem, and Bitcoin. Previously, he conducted market analysis and technical assessments of various altcoins at FXStreet and AMBCrypto, covering all aspects of the crypto industry, including...
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