Shiba Inu price has been recovering from its recent slump, as the meme coin received a boost from its listing on Coinbase, the largest US-based crypto exchange, and the launch of its own blockchain, Shibarium.
The token, which is inspired by the Shiba Inu dog breed, has gained over 40% in the past week, outperforming most of its peers in the crypto market but has since erased most of it’s gains.
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Shiba Inu Price Weekly Chart
The weekly chart shows that Shiba Inu price has broken out of a downtrend channel that started in May, when the token reached its all-time high of $0.000032. The breakout was accompanied by a significant increase in volume, indicating strong buying pressure.
The relative strength index (RSI) has also risen above 50, signaling that the bulls have regained control over the market. However, the RSI is also approaching the overbought territory, suggesting that the token is overvalued and could be due for a correction.
The next resistance level for Shiba Inu price is at $0.00001, which is the 23.6% Fibonacci retracement level of the decline from May to July. The next support level is at $0.000005, which is the lower boundary of the breakout channel.
Shiba Inu Price Daily Chart
The daily chart shows that Shiba Inu price has been forming higher highs and higher lows since September 9, forming an ascending channel. The token has also been trading above the 50-day and 200-day simple moving averages (SMAs), which are bullish signs.
However, the token has also been showing signs of exhaustion, as it has failed to close above the upper boundary of the channel on September 16, despite reaching a new high. The RSI has also formed a bearish divergence with the price, as it has made a lower high while the price has made a higher high. This suggested that the bullish momentum was weakening and a pullback happened.
On H4 timeframe level the price action of Symmetrical Triangle pattern where the price action is bouncing back from its Bottom level
We can expect the price action will reach out to its previous liquidities areas marked on chart.
Shiba Inu Price Outlook
Shiba Inu price has been enjoying a rally in the past week, driven by several factors such as Coinbase listing, Shibarium launch, and token burn. However, the token is also showing signs of being overbought and overextended, and could face a correction soon.
The bulls need to keep Shiba Inu price above the ascending channel and push it above $0.00001 to maintain the uptrend and target higher levels. The bears need to break Shiba Inu price below the channel and drag it below $0.000005 to initiate a reversal and target lower levels.
Shiba Inu News Roundup
Some of the latest news stories that could impact Shiba Inu price are:
- Shibarium Launches as SHIB’s Own Blockchain: Shibarium, the native blockchain of Shiba Inu, has officially launched on September 16. The blockchain aims to provide faster transactions, lower fees, and more scalability for SHIB and other tokens in the ecosystem. Shibarium also supports smart contracts and decentralized applications (DApps), opening up new possibilities for SHIB holders.
- Coinbase Lists SHIB on Its Platform: Coinbase, one of the largest crypto exchanges in the world, has listed SHIB on its platform on September 17. This news caused Shiba Inu price to rise by over 40% in the following two days, bringing more exposure and liquidity to the meme coin.
- SHIB Burn Rate Surges by 350% in a Day: The SHIB burn rate, which refers to the amount of tokens that are permanently removed from circulation, has surged by 350% in a day. According to data from Etherscan, more than 100 million SHIB tokens were burned on September 16, reducing the total supply and increasing the scarcity of the token.
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