Shiba Inu finally breached its downtrend trend with a 20% recovery over the past 72-hours. After reaching a low of $0.00003514, the meme token consolidated before surging during the penultimate days of November. Right now, the asset has not taken off on a massive rally but potential signs are indicative of a sustained recovery.
At the time of writing, Shiba Inu remained at 12th in the charts with a market cap of $27.5 billion.
Shiba Inu 4-hours time frame
Shiba Inu’s 4-hour chart is currently filled with bullish reversals. At first, the rising price breached the declining resistance that restricted its recovery since October 28th. Secondly, a bullish crossover took place between 50-EMA and 50-MA(orange & blue line respectively). Over the past day, the asset reached a high of $0.000054 but it is presently correcting a little. However, the asset is possibly going to hold a position above support at $0.000045, with $0.000058 being its immediate target.
Fibonacci lines gave further evidence about recovery. While testing 0.786 Fib level was not ideal, at the moment, it is recovery strongly above it. Similarly, Bollinger Bands appeared to diverge in the charts, and the rising price remained above the Bollinger Average. An immediate position close above $0.00004827 will be extremely ideal for SHIB, in order to carry stronger bullish momentum ahead.
Market Indicators
Market Indicators appeared bullish but lack credible strength. Relative Strength Index or RSI suggested a surge in buying pressure but selling pressure made their presence felt over the past few hours. MACD suggested a bullish reversal but there remains a lack of clear dominance by bulls.
Lastly, On-balance volumes indicated strong holder sentiment. Since October end, holders have hardly increased selling pressure, as the OBV indicator refused to decrease during a period of drawdown.
How to Invest in Shiba Inu right now
A conservative approach would be to wait until the asset closes position above $0.000048 once again. It would indicate strength for the bulls and retail will figuratively pile in. Optimistic hodlers can rally in at the moment, but corrections could take it down to as low as $0.000044. However, the trend over the next few weeks should be bullish as we approach the end of 2021.