Shiba Inu Shows Green Signals

A technical analysis of the weekly timeframe reveals that since August 2022, SHIB's price had fallen below a descending resistance trendline, hitting a low of $0.0000054 in June 2023. After several unsuccessful attempts to break through, Shiba Inu finally rose above the descending resistance trendline, which had held for over 480 days. Following the breakout, the price reached a high of $0.000011 and then started to decline. However, last week, SHIB confirmed the trendline as support and rebounded.

The Relative Strength Index (RSI) supports further growth, with the indicator above 50, indicating a bullish trend.

While the weekly chart is decisively bullish, the daily chart leans towards a positive outlook. Price action shows that SHIB has been trading within an ascending parallel channel since June 2022. Movement within the pattern led to a high of $0.0000119 on December 17, 2023, confirming the channel's resistance line and initiating a downward move. During the decline, the coin's price dropped below the channel's midline, and RSI fell below 50. However, on January 8th, Shiba Inu formed a bullish candle, rising above minor support at $0.0000092. If the asset holds above this level, it could grow by 27% to the channel's resistance line at $0.0000123.

However, a close below $0.0000092 would invalidate the ongoing rebound. In that case, SHIB may experience a 22% drop to the channel's support at $0.0000077.