With Shiba Inu continuing to hold support, an analyst has predicted a strong rebound to retest a crucial daily exponential moving average (EMA).
Shiba Inu (SHIB) has been fluctuating between $0.000010 and $0.0000099 recently amid persistent struggles. This mirrors the directional uncertainty witnessed by Bitcoin and among major altcoins.
Expect a Shiba Inu Bounce
However, analyst SwallowAcademy believes that Shiba Inu is on the cusp of a significant upward move. The market watcher shared this in his TradingView analysis on Wednesday.
He highlighted that despite the underwhelming SHIB price development, it still holds a crucial support area. With Shiba Inu maintaining this critical demand zone, the analyst shared a prediction of a rebound to higher prices.
Moreover, the recent dip created a visible gap that prices need to fill. An accompanying chart shows that Shiba Inu dropped below a support area between $0.00001145 and $0.00001264, highlighted in green.
The marked area had provided support for the price of Shiba Inu several times during its multi-month-long consolidation. Hence, the analyst suggests that Shiba Inu would bounce from the current price of $0.0000100 to reclaim that zone, which has now become resistance.
200-Day EMA Next Target
Notably, SwallowAcademy had earlier identified the 200-day EMA as a resistance stronghold for the prominent meme coin. An earlier commentary highlighted how the indicator has suppressed bullish momentum for Shiba Inu on four instances since May.
Notably, the tops at $0.00001765 in May, $0.00001597 in July, and $0.00001484 in September have all followed a rejection near the EMA. Now, the latest commentary asserts that SHIB would most likely retest the area.
SwallowAcademy suggested that the move would not just fill gaps but also provide insight into the next trajectory of Shiba Inu. How the token reacts to the resistance will determine whether it is ready for a momentous bullish shift if it breaks above or if it will continue to consolidate following a rejection.
Meanwhile, the 200-day EMA trends at $0.00001299 at the time of writing. From the current market price of $0.000010, an increase to this indicator represents a 30% price growth.
Remarkably, this aligns with an outlook from “ForexDreamVantage,” which claimed that Shiba Inu is still alive. He shared that holding the current support would pave the way for a rebound towards the “trend reversal zone” at $0.00001765. Reclaiming this resistance would shift momentum from bearish to bullish for the token, encouraging an adventurous northward price drive.
DisClamier: This content is informational and should not be considered financial advice. The views expressed in this article may include the author's personal opinions and do not reflect The Crypto Basic opinion. Readers are encouraged to do thorough research before making any investment decisions. The Crypto Basic is not responsible for any financial losses.
