The popular meme cryptocurrency, Shiba Inu (SHIB), finds itself at a pivotal juncture, exhibiting price action that suggests a significant move could be on the horizon. After weeks of consolidating around a critical support level, market indicators point to a potential breakout, capturing the attention of investors monitoring its future trajectory.
Consolidating at Key Support
SHIB's price has been steadfastly holding onto its crucial support cushion at $0.00001159. This level has acted as a persistent floor, absorbing every dip and leading to a significant tightening of its trading range, with daily candles shrinking and volatility muted. This extended period of consolidation at a stubbornly defended base is often a precursor to a sharp price swing, with some analysts terming a potential explosive upward movement a "God candle." The current price around $0.00001239 places SHIB right on the edge of this long-term foundation.
Bullish Divergences Hint at Accumulation
Adding to the intrigue is the technical signal from the Relative Strength Index (RSI), which has been flashing bullish divergences. This phenomenon occurs when the indicator trends upward while the price either moves sideways or slightly declines, typically signifying that buying pressure is quietly building as selling pressure dwindles. Throughout the summer, sellers attempted to push SHIB's price lower, but these efforts consistently ran out of steam due to thinning volumes, reinforcing the idea that buyers are accumulating at this support level.
Potential Price Scenarios
Should SHIB indeed break out to the upside from its current consolidation, several key resistance levels come into play. Initial targets are set around $0.00001698, followed by $0.00002052, which represents the ceiling of its last failed rally. A decisive move past these barriers could pave the way for a more substantial advance towards $0.00002501 and potentially even $0.00002970, levels last seen during strong rebound phases earlier in 2024. This current market posture positions SHIB at a make-or-break moment, where it could either quietly slip into further decline or ignite a powerful, vertical rally.
