Shiba Inu (SHIB) has set for an 18% rally, the reason
Shiba Inu (SHIB), the popular and second largest crypto meme coin, is set for a price rally as it has set a higher price action pattern on the four-hour time frame. Furthermore, the overall market sentiment seems to be shifting from a downtrend to an uptrend, SHIB seems to have broken its long consolidation or channel pattern.
Shiba Inu (SHIB) technical analysis and upcoming levels
According to expert technical analysis, SHIB looks bullish as it is currently at the bottom of its channel pattern or at the lower boundary of its consolidation zone for the past 32 days.
SHIB's daily chart shows that MemCoin is moving in the range between $0.00002013 and $0.00002466 and is currently at the lower limit of this zone.
Examining SHIB's four-hour chart, this appears to be the fifth time that the Mem coin has moved lower. Based on the recent price action and historical price progress, there is a possibility of 18% upside to reach the level of $0.00002466 in the coming days.
On the positive side, SHIB's Relative Strength Index (RSI) at 44.37, shows a bullish signal and indicates a potential price reversal and upside.
32 million dollars from SHIB exchanges
However, given the significant price action and potential upside, it appears that long-term holders are hoarding the token, according to on-chain analytics firm CoinGlass. Data from the inflows and outflows from the site shows that the exchange has seen an outflow of more than $32 million worth of SHIB in the past 48 hours.
This hints that significant outflows may accumulate, as outflows represent a movement of assets into investors' wallets. It also indicates potential buying opportunity, supported potential and upcoming buying pressure.
Combining this on-chain measurement with technical analysis, it appears that bulls are beginning to dominate, helping Mem Coin reach the upper bounds of the consolidation zone.
Current price momentum
SHIB is currently trading at around $0.000021 and has experienced a price drop of over 1.85% in the last 24 hours. At the same time, the trading volume decreased by 58 percent, indicating that the participation of traders and investors is low compared to the previous day.
