to leave a comment.
▲ Shiba Inu (SHIB)/ChatGPT generated image
Shiba Inu (SHIB) is showing signs of breaking out of a long-term compression phase, with the breakthrough of $0.00002 emerging as the first hurdle to overcome a price barrier that has persisted for years.
According to crypto media outlet The Crypto Basic on May 6 (local time), Shiba Inu has been consolidating within a narrow range on the weekly chart for several weeks. Volatility has decreased, and price movements show a build-up of momentum before the next directional move.
Analyst and community figure SHIB KNIGHT presented the price levels Shiba Inu needs to reach to be considered to have broken out of its price barrier. Shiba Inu rose 4% this week and 3.3% in the last 24 hours, reacting positively to Bitcoin (BTC) recovering to $81,000. However, its gains still lagged behind larger cryptocurrencies like Bitcoin and Ethereum (ETH).
Shiba Inu is consistently holding above the $0.0000060 support level, building a foundation for an upward move. In a separate analysis, Pepa pointed out that Shiba Inu is trapped below a descending trendline in the 8-day timeframe. This descending resistance line has continuously suppressed the price since its all-time high of $0.0000885 in 2021, and Shiba Inu has been forming lower highs below this trendline.
With recent consolidation and improving market conditions, this dynamic resistance line has moved closer to the current price level. Pepa analyzed that Shiba Inu might be on the verge of a significant breakout. The Crypto Basic stated that the longer the consolidation period, the stronger the breakout and subsequent moves could be.
According to SHIB/KNIGHT's chart, the first level for Shiba Inu to break out of the price barrier is $0.00002. This represents a 212% increase from the current market price of $0.0000064, and it's the point where Shiba Inu regains a psychological support zone and returns to price levels not seen since January 2025. The chart also suggests the possibility of Shiba Inu dropping two zeros and reaching $0.0001, which would be a 15,500% increase from the current price.
Market interest in Shiba Inu is growing. Trading volume surged by 20% in the last 24 hours, and open interest increased by 7% during the same period. The Crypto Basic reported that the increase in trading volume and open interest confirms expanding market participation.
*Disclaimer: This article is for investment reference only, and we are not responsible for any investment losses based on it. The content should be interpreted for informational purposes only.*
Newsletter
Get key news delivered to your email every morning
to leave a comment.