Shiba Inu (SHIB) Price Analysis: Can the Breakout Target $0.000056 Amid Bearish Sentiment?

A recent tweet from The Moon Show has drawn attention to Shiba Inu’s ($SHIB) current market pattern, suggesting an optimistic outlook despite the recent price correction. 

The tweet highlighted that SHIB is still in an ascending triangle on its weekly chart. The key takeaway from the analysis is that should the price break above the horizontal resistance level, the token could experience a 67.53% price surge, targeting a price of $0.000056. 

Despite the strong correction, $SHIB is still ranging within this 1W ascending triangle! The conservative target for this cycle could be $0,000056🎯 pic.twitter.com/JH1EM12QVw

— The Moon Show (@TheMoonCarl) December 24, 2024

However, given the current market conditions, with SHIB facing a downturn, future price action requires careful monitoring to determine whether this breakout pattern will materialize.

Ascending Triangle: A Possible Breakout Ahead?

Despite the bearish trends, Shiba Inu is still trading within an ascending triangle formation, a key technical pattern often suggesting a potential breakout. The chart displays a rising support trend line extending from late 2023 to mid-2024 and a horizontal resistance level. 

If the price breaks above this resistance level, the analysis predicts a potential price surge of 67.53%, with a target price of $0.000056. This pattern indicates a period of price consolidation and accumulation, often preceding a strong price movement. However, the breakout scenario is contingent on market conditions, investor sentiment, and confirmation of the breakout pattern.

Current Market Conditions and Technical Indicators

As of Dec. 26, 2024, Shiba Inu is trading at $0.00002167, reflecting a 7.58% decline over the past 24 hours. The market capitalization is approximately $12.76 billion, with the trading volume dropping significantly by 25.55%, now at $547.43 million. 

This decline in trading volume indicates a lack of momentum in the market, and the token has been on a steady downtrend since December 25, 2024. This downtrend is also seen in the price chart, where SHIB’s price has fallen from around $0.0000235 to its current value, further suggesting bearish market sentiment.

The Relative Strength Index (RSI) for Shiba Inu is currently at 40.76, below the neutral level of 50, indicating a bearish market trend. The RSI value, while not in oversold territory (below 30), suggests that SHIB is under downward pressure. 

As the RSI moves closer to the oversold zone, it could signal a potential buying opportunity. However, if the RSI continues to fall, SHIB could experience further downward momentum in the short term. Traders should watch for a potential reversal if the RSI approaches or dips below 30, as this could trigger a change in market sentiment.

The Moving Average Convergence Divergence (MACD) indicator also presents a bearish outlook for SHIB. The MACD line (blue) is positioned below the signal line (orange), indicating a bearish crossover. 

FAQs: 

What is the current price of Shiba Inu (SHIB)?

As of December 26, 2024, Shiba Inu is trading at $0.00002167, reflecting a 7.58% decline in 24 hours.

What is the target price for Shiba Inu (SHIB) if it breaks resistance?

If SHIB breaks the resistance, it could surge by 67.53%, targeting a price of $0.000056.

What technical indicators suggest a bearish trend for Shiba Inu (SHIB)?

The RSI at 40.76 and a bearish MACD crossover indicate downward momentum, suggesting further short-term declines.