SHIB Breaks Resistance, Rises 5% with Strong Trading Volume

According to the latest analysis by NebraskanGooner on X, the daily chart of SHIB/USDT from Binance reveals crucial technical indicators and patterns that point towards a potential bullish trend for the digital asset. Particularly, Shiba Inu (SHIB) had experienced a price increase of 5% as of his post.

One of the key observations from the chart is the formation of a descending triangle pattern, marked by a yellow line. Traditionally, a descending triangle suggests a bearish trend continuation. However, Shiba Inu has defied this expectation by breaking out upwards from the pattern. This breakout is often regarded as a bullish signal, indicating a potential upward momentum for the asset.

The chart also highlights two critical resistance levels, denoted by horizontal yellow dotted lines. These levels are positioned around $0.00002900 and $0.00003200. The approach towards these resistance levels will be pivotal in determining the asset’s next movement.

The analysis incorporates two moving averages: the 50-day moving average (50 MA), represented by a red line, is currently trending downwards but is showing signs of leveling off. This change could indicate a shift in momentum. The 200-day moving average (200 MA), depicted by an orange line near the chart’s bottom, continues to trend upwards. This trend suggests a long-term bullish outlook for SHIB.

Another noteworthy factor is the recent surge in trading volume, which supports the breakout from the descending triangle. An increase in volume during a breakout typically confirms the strength of the movement, providing further evidence of the potential bullish trend.

As of today, the price of Shiba Inu (SHIB) stands at $0.00002876, with a 24-hour trading volume of $2,000,189,997.51. This represents a substantial 16.10% price increase over the last 24 hours and an 11.50% increase over the past seven days. With a circulating supply of 590 trillion SHIB, the cryptocurrency boasts a market capitalization of $16,943,723,899.

The self-proclaimed Dogecoin-killer, recently experienced a significant surge in its market capitalization, briefly touching $17 billion before stabilizing at approximately $16.9 billion, according to CoinGecko’s data. This impressive rise allowed Shiba Inu to surpass Cardano (ADA) and secure its position as the 11th largest cryptocurrency.

Over the past week, Shiba Inu has outperformed the global cryptocurrency market, which has seen a modest increase of 0.50%. Additionally, SHIB has outpaced similar cryptocurrencies within the GMCI 30 Index, which have remained stagnant at 0.00% over the same period.