Shiba Inu (SHIB), the widely-recognized and second-largest meme cryptocurrency, is set for a price increase as it has established a bullish price action pattern on its four-hour chart. Furthermore, the general market sentiment seems to be transitioning from a downward trend to an upward trend, with SHIB appearing to break its extended consolidation or channel pattern.
Shiba Inu (SHIB) Technical Analysis and Upcoming Levels
According to professional technical assessments, SHIB looks optimistic as it is currently positioned at the base of the channel pattern, or the lower edge of the consolidation area, where it has remained for the last 32 days.
The SHIB daily chart illustrates that the meme cryptocurrency has been fluctuating within a range of $0.00002013 to $0.00002466, currently resting at the lower edge of this range.
When assessing the SHIB four-hour chart, it is evident that this marks the fifth occasion the meme cryptocurrency has reached this lower threshold. Given the recent price movements and prior price trends, there is a considerable chance it could elevate by 18% to hit the $0.00002466 mark in the upcoming days.
On a positive note, with SHIB’s Relative Strength Index (RSI) reading at 44.37, it signifies a bullish indication and suggests a possible price turnaround and rising momentum.
$32 Million of SHIB Outflow from Exchanges
Nevertheless, in light of the bullish price action and likely upward momentum, long-term holders appear to be accumulating the token, as indicated by on-chain analytics firm CoinGlass. Data compiled from spot inflows and outflows reveals that exchanges have observed a withdrawal of over $32 million worth of SHIB within the last 48 hours.
This significant outflow suggests a potential accumulation trend, as outflow pertains to assets transferring from exchanges to investors’ wallets. It also implies a possible buying opportunity, upward potential, and forthcoming buying pressure.
By merging this on-chain metric with the technical analysis, it seems that bullish forces have commenced their influence, propelling the meme coin toward the upper edge of the consolidation area.
Current Price Momentum
At present, SHIB is trading around $0.000021 and has recorded a price decline of over 1.85% in the previous 24 hours. Throughout the same timeframe, its trading volume decreased by 58%, signifying diminished engagement from traders and investors compared to the day prior.
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