Crypto analysts have identified Shiba Inu (SHIB) as being in a buy zone, suggesting the potential for a breakout from its current flag pattern and a rally toward $0.000085. SHIB Knight, a prominent crypto analyst, emphasized the importance of defending this buy zone on the weekly chart to sustain an uptrend.
Despite a significant downturn of 42.42% from last month’s peak of $0.00002945, SHIB’s current trading price at $0.00001709 represents an opportunity for investors to accumulate tokens in anticipation of a recovery.
The broader market downturn has affected Shiba Inu, leading to a 31.6% decline over the past 30 days and a 2.65% drop in the past 24 hours. However, many investors view these price retracements as strategic entry points to buy SHIB before a potential rebound.
Analysts like SHIB Knight believe that increased buyer activity at the $0.000017 level could trigger a recovery, provided bulls defend this critical buy zone. If bears dominate, the next significant support level would be at $0.000016.
TradingView analyst Esmaai Baiki has set an ambitious price target for SHIB, identifying a bull flag pattern on the daily chart. This pattern, formed between February and March, suggests a possible breakout above the flag’s upper trendline.
Baiki predicts that such a breakout could propel SHIB to the $0.00008 to $0.000085 range, indicating a substantial potential increase of 400%. This forecast aligns with SHIB’s recent retest of the flag pattern’s floor at $0.000017, supporting the bullish outlook.
Further supporting the positive sentiment, data from IntoTheBlock reveals a significant bid volume of 28.78 billion SHIB tokens across major exchanges like Binance, KuCoin, and Coinbase. The higher bid volume compared to the ask volume (27.94 billion) indicates strong buying interest.
Additionally, recent transactions show buyers acquiring 1.64 trillion SHIB tokens, valued at approximately $28 million, outpacing sellers by more than 38 billion tokens. This demand surpassing sales suggests a robust recovery potential for SHIB.
Currently, SHIB has formed a green candle, indicating buying pressure as it attempts a recovery. However, it faces resistance at the $0.00001730 level, causing some price volatility.
The support level at $0.00001683 is crucial for sustaining the recovery rally. If the support holds and buying interest remains strong, SHIB could see significant gains, aligning with the analysts’ bullish predictions and the optimistic market sentiment surrounding the token.
