Shiba Inu (SHIB) has shown mixed performance recently, but analysts remain optimistic about the memecoin’s future due to fundamental developments. With Bitcoin’s price facing bearish pressure around $66,000, SHIB struggles to achieve a clear breakout above a key triangle pattern, despite bullish on-chain metrics.
In the past 24 hours, Shiba Inu stock has experienced increased bearish pressure, leading to a significant rise in long-liquidations. Data from Coinglass shows that SHIB faced total liquidations of nearly $258,000, with buyers accounting for approximately $217,000 of this amount. Additionally, open interest for SHIB has increased by 1.4%, now standing at $77.25 million.
On-chain data reveals a significant increase in large transactions for SHIB over the past five days. The number of transactions skyrocketed from a low of 14 to 378. This sharp rise in whale activity has driven up volatility and resulted in a substantial increase in trading volume.
What’s Next for SHIB Price?
On May 13, the bulls successfully defended the support line of Shiba Inu’s symmetrical triangle pattern. However, the rebound failed to break through the channel’s resistance line and is currently consolidating. As of writing, SHIB price trades at $0.000025, surging over 2% in the last 24 hours.
The 20-day EMA ($0.000024) is rising, and the RSI is hovering above the midpoint, indicating an advantage for the bulls. Given this bullish momentum, SHIB price might soon validate a clear breakout above the channel’s resistance line.
A breakout above the triangle would indicate the end of the corrective phase, potentially pushing the SHIB/USDT pair to $0.000030 and then to $0.000033. Conversely, a break below the triangle could lead to a decline to the 78.6% Fibonacci retracement level at $0.0000185.
Overall, while SHIB faces significant resistance, the increase in whale activity and positive on-chain metrics suggest a potential for a bullish breakout. Investors should watch for key resistance and support levels to gauge the next move.