Shiba Inu ($SHIB) Bullish Reversal in Sight with Potential 351% Surge, Says Analyst

• SHIB’s breakout from a descending wedge hints at a bullish reversal, targeting potential gains of over 351% if momentum sustains.
• The 50 and 200 EMA levels at $0.00001728 and $0.00001752 are crucial for SHIB’s next rally, with a need to break above these levels.
• An RSI of 44.86 suggests weak momentum but not oversold, pointing to possible consolidations before a stronger upward trend resumes.

Shiba Inu (SHIB) appears poised for a strong bullish reversal, according to JavonTM1, crypto analyst on X. The memecoin is currently experiencing an upward breakout pattern, with new bull signals forming in its price action. 

Based on recent market data, SHIB is on track to possibly reach the target level of $0.000081, an ambitious aim that reflects a projected increase of over 351%. This potential shift in momentum, marked by notable price action patterns, may present opportunities for traders to consider.

Strong Reversal Signals from Key Patterns

SHIB’s price movement in recent months highlights a two-phase trend. First, a rally earlier in the year pushed SHIB sharply upward before it retraced and entered a consolidation phase. This period formed a descending wedge, a technical pattern signaling a bullish reversal. 

JavonTM1 noted a recent breakout from this wedge, confirming a move upward. The price has since encountered resistance, though it briefly continued rising. Notably, the breakout around $0.00000800 has established a solid support level, indicating a potential path to higher targets.

Market Indicators Highlight Support and Resistance Levels

Key exponential moving averages (EMAs), including the 50 EMA (around $0.00001728) and the 200 EMA ($0.00001752), act as primary levels of support and resistance. 

Currently, the price remains below both EMAs, signaling a bearish sentiment, which may need to change for bullish momentum to continue. With SHIB’s price nearing $0.00001600, breaking above these levels could enable further upward moves.

Indicators Suggest Volatility and Caution Amid Bullish Patterns

While a bullish breakout pattern is forming, JavonTM1 suggests the market should remain vigilant. The RSI, currently at 44.86, suggests weak momentum but no oversold conditions, indicating that while the price may trend upward, pullbacks or brief consolidation periods are likely. 

For SHIB’s rally to reach the significant $0.00001 target, further bullish sentiment across the broader crypto market will be crucial. Breaching this level could serve as a catalyst for sustained bullish action.