This post may contain affiliate links, which means I may receive a small commission, at no cost to you, if you make a purchase through a link.
After a long period in the red, the Shiba Inu coin is finally in the green zone. Could this be the beginning of a Shiba mega pump?
Since hitting an all-time high in October, the coin has been in red losing over 60% from its peak value. Consecutively, making its position and market valuation in the cryptocurrency market drop.
However, the last few days have seen the coin record gains with its price trading at $0.000037 currently. In the last 24 hours, the coin is up 10%. The rise is exciting the market with analysts predicting this gain is setting the stage for another rally that could see the coin go back to its previous peak.
This gain does not come as a surprise as the signs of a possible bullish momentum were clear both from a technical and fundamental level.
Price Action Indicators
Shiba has been trading at a key zone for a few weeks now. With the price resisting the $0.000029 level previously, this was a sign of buying momentum at this zone.
This area has also acted both as a resistance and support zone previously making it a potential zone to get a reversal. Price action indicators are key investing tools in the financial markets. After using them for decades, investors use them as guidance in making investment decisions.
Hence, it is always critical to pay attention is these decisive zones.
Momentum indicators have also been indicating loss of selling power with the stochastic indicator showing the coin in an oversold position.
Normally, an oversold position is an indicator of a market with a high likelihood of reversing. Hence, Price action could be among the reasons the market is in green.
Crypto Market Movement
The cryptocurrency market tends to move in a similar direction more so the major coins. That’s the reason why most currencies are also in green such as Bitcoin and Solana.
It was a similar move when the coin was in red as almost all other major coins were in red too.
This happens due to the approach by investors to put money in altcoins as they are easy to rise and cheaper than the main coins such as Bitcoin.
Is this the Beginning of a Shiba Mega pump?
Shiba coin is famous for making huge price moves, especially under bullish momentum. With the recent gains, there is a chance the coin is getting ready for a mega pump in the days ahead.
With all the indicators and signs in support of such a move, the huge rise could be inevitable. In the short term, the coin could hit the all-time high price of $0.00009.
However, if the momentum is strong enough, the coin could be on its way to losing another zero as it did in the last rally. Hitting the all-time high could represent a 300% gain.
In the last rally, Shiba gained 500% within a few days. Hence, this is not new territory for it to make such gains.