An intriguing divergence pattern identified by crypto analyst Floratap has once again made Shiba Inu (SHIB) the focus of intense market interest. According to the analyst, this pattern could potentially serve as a catalyst for a 500% price increase for SHIB, marking one of the most significant comebacks in its history.
Is the Bull Run Beginning?
The analyst stated, “Shiba Inu rising above the $0.000017 level could trigger an upward move towards $0.0000263, with bulls targeting as high as $0.000081, representing a 500% increase.” The current divergence between SHIB’s horizontal price movement and strengthening momentum signals is instilling optimism in the market. Additionally, trends in the relative strength index (RSI) and trading volumes suggest a quiet accumulation phase that historically precedes sharp crypto rallies.
However, SHIB’s reaching $0.000081 would rely heavily on massive capital inflows into the market and a sustained bullish wave across the broader crypto landscape. Recently, SHIB, the second-largest meme coin, has witnessed an astonishing burn rate of around 48,247%.
As of the writing of this article, data from CoinGecko indicates that SHIB was trading at $0.00001231.
Shiba Inu Bulls and Support Level
Market analyst Lingrid emphasizes that SHIB stands firm above a key support level, demonstrating a strong buyer defense. This resistance reinforces the short-term bullish technical outlook by preventing deeper losses. Lingrid adds, “Price movement suggests that bulls are poised to push prices higher as long as the support level is maintained. A breakout above the resistance zone could target the $0.00001350–$0.00001400 area.”
This analysis may indicate that Shiba Inu has transitioned from the correction phase to the accumulation phase, with the break in the descending channel signaling strength, and the current consolidation potentially laying the groundwork for a rally.
Furthermore, the price movements of meme coins like Shiba Inu can sometimes be driven more by community enthusiasm, social media trends, and speculation than by any fundamental utility or technological innovation. Elements such as the high burn rates mentioned are positively received by the community under the belief that it will drive prices up by reducing supply, although this is not always guaranteed.
