Can a Double-Down Split Push Shiba In for a 10x Rally?

With the bullish trend in the crypto market, meme coins are on a bright path as sentiments improve. Among the top-performing meme coins, Shiba Inu shows a rally ready for a revival.

Known as DOGE-Killer, Shiba Inu has a market capitalization of $8.46 billion and is the second largest meme coin in the crypto world. Will this broad market recovery result in a new 52-week high for SHIB? Read this analysis for more details.

Shiba Inu price performance

The Shiba Inu daily chart shows a large bearish influence with a falling wedge shape. The falling wedge pattern captures a 67% decline in price between March and September. The decline started from the $0.000040 mark, formed a bottom and tested the critical support level of $0.00001297.

Marketing perspective

Currently, the Shiba Inu price trend is taking a sideways path, taking support above $0.00001297, indicating that the Shiba Inu trend is likely to change. A Shiba Inu price trend with an uptrend line is higher than a sideways trend and a double-bottom reversal is expected.

Breaking out of the trendline, the double-bottom reversal is now challenging the 50-day EMA. Additionally, the recent recovery run contained a 12% price jump and formed four consecutive bullish candles.

Technical indicators:

RSI: Following the death cross in July, the RSI line remains strong despite the downtrend in the 50-day and 200-day EMA. With the recent improvement in the recovery process, the RSI line is close to the overbought boundary line.

So the speed indicator shows the pressure drop.

Will SHIB return the price of $0.000050?

With a gain of 2.20% on the day, Shiba Inu price is currently trading at $0.00001440. If Memcoin breaks above the 50-day EMA, the 200-day EMA comes as the next potential target at $0.00001683.

However, when the meme coin completes the low-high formation, the previous peaks are raised as potential targets. Therefore, based on this assumption, the psychological signal of $0.000020.L and critical resistance of $0.000028 are also possible targets. On the upside, critical supports for MemCoin are at the $0.00001297 and $0.000010 psychological mark.

Does the Shiba Inu give 10X Rally?

Based on the weekly chart, the SHIB price trend shows a reversal phase breakout under the 50W EMA. Currently, the downtrend is under the 23.60% Fibonacci level, with the possibility of a recovery in the short term.

Marketing perspective

However, in the event of a possible comeback in the next bull market, the bullish reversal in MemCoin could reach the high of $0.000088. Additionally, based on the Fibonacci retracement, the bull run in SHIB could retrace to the 1.618 level at the $0.0001050 psychological mark for about 7x. Therefore, the potential downside in the Shiba Inu is estimated to be near the 10X rally in the next bull run.

Want to know if the Shiba Inu has the potential to reach $1? Find out now in Coinpedia's SHIB price forecast for 2024 and beyond.