Shiba Inu (SHIB), the popular coin and second largest meme cryptocurrency, is gearing up for a price rally as it has formed a bullish price action pattern on its four-hour time frame. Additionally, overall market sentiment appears to be shifting from a bearish trend to a bullish one, as SHIB appears to be breaking out of a long-standing consolidation or channel pattern.
Shiba Inu (SHIB) technical analysis and upcoming levels
According to expert technical analysis, SHIB appears to be bullish as it is currently at the bottom of the channel pattern, or the lower limit of the consolidation zone, where it has been for the past 32 days.
SHIB’s daily chart reveals that the meme has been moving within a range between $0.00002013 and $0.00002466, and is currently at the lower limit of this zone.
While examining the SHIB four-hour chart, it appears that this is the fifth time that the meme coin has moved to the lower level. Based on the recent price action and historical momentum of the price, there is a strong possibility that it will rise by 18% to reach the $0.00002466 level in the coming days.
On the positive side, with the Relative Strength Index (RSI) for SHIB at 44.37, it is indicating a bullish signal and hints at a possible price reversal and upward momentum.
$32 million of SHIB outflows from exchanges
However, given the bullish price action and potential bullish momentum, long-term holders appear to be accumulating the token, as revealed by the on-chain analytics firm. Queen Glass. Data from spot inflows and outflows show that exchanges saw an outflow worth more than $32 million from SHIB in the past 48 hours.
This large inflow indicates potential accumulation, where inflow refers to the movement of assets from exchanges into investors’ portfolios. It also indicates a potential buying opportunity, upside potential, and upcoming buying pressure.
When combining this on-chain metric with technical analysis, it appears that the bulls are starting to take control, helping the memecoin reach the upper border of the consolidation zone.
Current price momentum
Currently, SHIB is trading near $0.000021 and has seen a price decline of over 1.85% in the last 24 hours. During the same period, trading volume decreased by 58%, indicating lower participation by traders and investors compared to the previous day.
