By Nathan Ferguson
- The meme crypto Shiba Inu coils up within a bottom reversal setup, suggesting a 38% rally.
- Flipping the hurdle at $0.0000329 may support a run-up towards $0.0000454.
- A daily candle closes beneath support of $0.0000211 will cancel the bullish narrative.
Shiba Inu witnessed its price action coiling up within a bottom reversal formation for about three months, suggesting an explosive move upward. The consolidation will likely lead to a massive uptrend that can double SHIB’s market value.
Shiba Inu Corrects Lower before Skyrocketing
The canine-themed crypto printed an Adam—Eve formation from its price movements between 5 January and 8 February. The setup comprises two unique swing lows: a V-shaped valley (Adam) and a rounded bottom pattern (Eve).
Meanwhile, the pattern’s second half remains incomplete and hovers beyond the demand zone, stretching between $0.0000235 and $0.0000255. Thus, interested traders can accumulate before the anticipated explosive surge.
The technical pattern predicts a 38% upward move, obtained by measuring the valley’s depth and adding the figure to the $0.0000329 breakout level. That gives the target of $0.0000454. The run-up would mean an 83% upsurge from the token’s current value, $0.0000248.
Nevertheless, Shiba Inu should conquer the nearest obstacle at $0.0000271 and overturn the $0.0000329 neckline for the massive upswing to play out.
A 24hr candle close beyond this level might catalyze another upsurge towards the $0.0000454 mark. While such a move remains apparent, enhanced bullish actions might see the meme token extending the upside journey towards the $0.0000500 value area. That will translate to a 102% return for holders from today’s $0.0000251 lowest price level.
Though the bullish picture forms a technical viewpoint, a daily candle close under the support at $0.0000211 would form a lower low, invalidating SHB’s bullish case. That would mean bears’ favoritism, potentially triggering a crash towards $0.000094.
While publishing this blog, BTC traded at $43,820.64, surging 0.63% over the past 24 hours. Extending the leg-up to overcome near-term hurdles would support bullishness n the altcoin market. That can see SHIB on the road towards upside targets.